The results of the European Union bank stress tests conducted by the Committee of European Banking Supervisors, Cebs, are summarised in the table below. Complaints have already begun that the stress tests weren’t stringent enough, but with the table you can fashion your own stress test… just pick your preferred Tier 1 ratio and click the column heading to sort.
For reference, Cebs required a minimum of 6 per cent Tier 1 ratio under the Adverse scenario with shock (seven failed to meet this bar, and the recapitalisation cost for them is in the final column). The actual regulatory minimum is 4 per cent, however, and only one bank managed to miss this bar (Diada).
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