Higher volatility and widening spreads in sovereign yields slowing progress of Eurozone banks
Under international and EU banking rules, major banks must issue a special loss-absorbing debt known as TLAC that can be converted to capital if a crisis burns through their core capital buffer.
- Country:
- Bulgaria
- Denmark
- Greece
- MaltaMalta
- Norway
Eurozone banks have not made enough progress in raising loss-absorbing capital and now may face more difficult market conditions due to higher volatility and widening spreads in sovereign yields, the bloc's banking watchdog said on Monday.
"Not enough progress has been made there," European Banking Authority's chair Andrea Enria told a banking conference in Brussels, warning that the problem concerned large and medium banks, but not the biggest systemic lenders who are instead "very close to being fully compliant."
Under international and EU banking rules, major banks must issue a special loss-absorbing debt known as TLAC that can be converted to capital if a crisis burns through their core capital buffer.
(With inputs from agencies.)
ALSO READ
"India is witnessing progress in various sector since 2014:" says Rajasthan CM
US Treasury sees progress on multilateral bank reforms, but more to do
''India is on the path to 'Ram Rajya' and no one can hinder its progress: Rajnath Singh''
US will not renew license that eased sanctions on Venezuela's oil, gas sector unless progress made by Maduro
Azad urges National Conference to embrace new leadership and progress beyond Sheikh Abdullah's legacy