ECB Defends Stress Test From Erste’s Criticism of Design
This article is for subscribers only.
The European Central Bank defended the design of a stress test for 128 euro-area lenders, after Andreas Treichl, head of Erste Group Bank AG, vowed to fight its “political” bias against eastern Europe.
The ECB said the stress test “reflects a narrative which consistently portrays the main prevailing financial stability risks identified” by the European Systemic Risk Board, which proposed the adverse scenario, according to an internal ECB document obtained by Bloomberg News.