After stress tests, many banks still vulnerable, says Fitch

By Graham Bippart
16 Oct 2014

European banks could need to spend as much as €250bn to raise their reserve coverage levels against problem loans to healthy levels, according to Fitch.

The rating agency said that despite the recent capital raising efforts of the 130 banks being reviewed by the European Central Bank, high exposure to impaired loans is leaving some vulnerable, keeping them out of the lending market and limiting their access to private sector funds.

“We estimate ...

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