The European Union's banking watchdog has criticized lenders for inflating the value of their high-risk debt used to bolster capital buffers during crises. This issue was highlighted on Thursday, with the watchdog emphasizing concerns over the potential manipulation of capital adequacy measures. In response, the European Central Bank (ECB) has urged national macroprudential authorities to maintain current capital buffer requirements. The ECB also suggested on Friday that some euro zone countries should consider increasing their bank capital buffers due to the resilience of the banking sector. The full story was reported by Reuters.
🔵 ECB WANTS COUNTRIES TO RAISE, NOT CUT BANK CAPITAL BUFFERS Euro zone countries should not cut releasable bank capital buffers given the resilience of the sector and some should even increase them, the European Central Bank said on Friday. Full Story via Reuters on PiQ Suite https://t.co/eGZqbfBjpM
ECB: THE GOVERNING COUNCIL CALLS ON NATIONAL MACROPRUDENTIAL AUTHORITIES TO MAINTAIN CURRENT CAPITAL BUFFER REQUIREMENTS
⚠️ ECB: THE GOVERNING COUNCIL CALLS ON NATIONAL MACROPRUDENTIAL AUTHORITIES TO MAINTAIN CURRENT CAPITAL BUFFER REQUIREMENTS
ECB: THE GOVERNING COUNCIL CALLS ON NATIONAL MACROPRUDENTIAL AUTHORITIES TO MAINTAIN CURRENT CAPITAL BUFFER REQUIREMENTS.
EU banking watchdog calls out lenders for inflating capital buffers - Reuters https://t.co/680vzScfCh
EU BANKING WATCHDOG CALLS OUT LENDERS FOR INFLATING CAPITAL BUFFERS - MS
EU Banking Watchdog Calls Out Lenders For Inflating Capital Buffers - MS https://t.co/5NqUd71P38
🔵 EU BANKING WATCHDOG CALLS OUT LENDERS FOR INFLATING CAPITAL BUFFERS Banks in the European Union may be inflating the value of their high risk debt used for plugging capital gaps in a crisis, the bloc's banking watchdog said on Thursday. Full Story via Reuters on PiQ Suite -… https://t.co/UMtmk9udu3