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ECB Keeps Bank Capital Demands Largely Unchanged for 2026 After Review Finds Sector Resilient

Supervisors urge stronger forward-looking risk management given rising external pressures.

Overview

  • The ECB’s latest supervisory review judged large euro-area lenders broadly resilient, citing robust capital, liquidity and strong profitability.
  • Capital requirements for 2026 will stay largely stable at the system level following the assessment.
  • The review covered 105 institutions under direct ECB supervision through the SREP.
  • Supervisors will continue to apply bank-specific capital add-ons and place limits on dividend distributions where warranted.
  • Deutsche Bank and Commerzbank reported slight reductions to their 2026 capital requirements based on their SREP outcomes.