Banking stress tests in Europe have a rocky history. While the tests conducted by the United States Federal Reserve in 2009 restored confidence in the financial sector, European tests have been undermined almost immediately by bank failures. Stress tests in…
What to expect from European bank stress tests
On Sunday, October 26, the European Central Bank (ECB) will release the long-awaited results of its bank stress tests. Mirroring the action taken by the United States Federal Reserve in 2009, these examinations are meant to determine once and for…