Stress tests find large Danish banks can withstand severe recession
Smaller institutions fall short of minimum capital requirements, central bank finds
The largest Danish banks have enough capital to deal with a severe recession scenario, the National Bank of Denmark said today (May 31), in light of the results of its semi-annual stress tests.
“The stress test shows that the largest banks, ie the Sifis (systemically important financial institutions), are resilient to even a considerable level of stress,” the central bank says. The institutions that have previously struggled in the tests have strengthened their capital ratios over the last half
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