Monday September 15, 2014 Search
Weather | Athens
28o C
21o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Stress tests begin for lenders

 Banks expect results of the exercise after mid-October, though meetings with ECB should provide good idea

By Yiannis Papadoyiannis

Crunch time has arrived for the Greek credit sector as the European Central Bank and the European Banking Authority began on Monday the much-anticipated stress tests on all major lenders in the eurozone whose purpose is to examine the consequences of any possible deterioration in economic conditions on loan portfolios.

Banking sources say that the heads of the ECB and the EBA will hold meetings with bank officials after the second week of September to discuss methodology issues and present some of their findings, but without telling them the results. After the meetings the banks will have a good idea of the ECB’s intentions and strategy and even of the exercise’s possible outcome.

The decisive point that may well determine if banks need additional capital is whether the ECB test banks based on their dynamic elements – i.e. the forecast concerning the course of their main figures and the creation of internal capital through asset sales – or on their static picture from the end of 2013.

EU banks had until December 31, 2013 to have their restructuring plans approved by the European Commission for them to be considered for the stress tests, but the Greek lenders only had theirs approved between April and July 2014. However the ECB has said it will factor them in regardless, although it remains unclear to what extent the dynamic elements will be taken into consideration.

Sources say that the ECB will examine the level of progress and compliance of each bank to the Commission’s requirements, and that that will determine whether the dynamic or static picture will be used.

According to the ECB timetable, the final results of the stress tests will not be issued before mid-October, with the most likely date being Friday, October 17, according to analysts. Banks will find out the results just before their publication, and then will have two weeks to announce how they plan to cover any capital requirements.

ekathimerini.com , Monday September 1, 2014 (22:30)  
Alpha Bank launches voluntary dismissal program
OMT may be key to full market access
US real estate companies flock to Greece
Ship equipment makers strike deals with foreign shipyards
Remains believed to belong of French hiker found on Mt Olympus, four years later
Remains believed to belong to a French woman who went missing on the peaks of Mount Olympus on September 30, 2010, were discovered on Sunday below the Loutsa trail, the state-run Athens-Mace...
Thessaloniki man dies in heavy rainfall on Sunday
A resident of Thessaloniki drowned on Sunday after his car was swept away in a flash flood during heavy rainfall in the northern port city. The 49-year-old man was driving in a on off-road v...
Inside News
WATER POLO
Greece wins women´s U19 Europeans in water polo
Greece won the women’s European Under-19 Championship in Italy beating the host in Sunday’s final, for what was the country’s second gold medal in the competition’s history. The Greek teenag...
SOCCER
Veria alone on Super League summit
Olympiakos appeared in fine shape ahead of its Champions League premiere against Atletico Madrid on Tuesday, beating visiting OFI 3-0 on Saturday, but Macedonian minnows Veria are those that...
Inside Sports
COMMENTARY
Lost in the fog
I recently attended an event where one of the guests was a much talked-about personality of the center-left, a person who has never been part of a government administration. People kept goin...
EDITORIAL
Sending out a clear message
Few things are worse in politics than sending out vague or contradictory messages. Interestingly, there has been little else from the direction of the conservative-led government since the l...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Remains believed to belong of French hiker found on Mt Olympus, four years later
2. Alpha Bank launches voluntary dismissal program
3. Thessaloniki man dies in heavy rainfall on Sunday
4. Soccer fan in critical condition after Sunday clash to be transferred to Athens
5. Democracy under Pressure | Live Streaming
6. Central Athens traffic restrictions back in force on Monday
more news
Today
This Week
1. Central Athens traffic restrictions back in force on Monday
2. Democracy under Pressure | Live Streaming
3. Sending out a clear message
4. Soccer fan in critical condition after Sunday clash to be transferred to Athens
5. Lost in the fog
6. Thessaloniki man dies in heavy rainfall on Sunday
Today
This Week
1. A Greek God
2. Avramopoulos appointed Commissioner for Migration and Home Affairs
3. Greece on standby
4. Pavlos Fyssas murder trial expected to start before the end of the year
5. EU bank tests may miss trillion dollar risk, study finds
6. SYRIZA spokesman suggests gov't sought to stop NERIT airing Tsipras speech live
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.