Monte keeps capital plan intact as EU banks prove resilient in stress test

Monte's CET1 ratio fell to minus 0.1% under the adverse scenario| Arcansél/Adobe Stock

Credit investors are pleased with how banks performed in the EU stress test, though the sector lost more capital on average than it did in the previous exercise in 2018. The market was even sanguine about Banca Monte dei Paschi di Siena, which will be able to stick to its ‘fallback’ plan despite losing all its capital under the adverse scenario.