ECB policymaker: bank tests may be too tough

By The Associated Press | Posted - Jun. 16, 2014 at 1:11 a.m.

This archived news story is available only for your personal, non-commercial use. Information in the story may be outdated or superseded by additional information. Reading or replaying the story in its archived form does not constitute a republication of the story.

BERLIN (AP) — A European Central Bank policymaker is voicing concern that Europe may be too tough on banks as they undergo "stress tests" to measure their financial resilience.

European officials are trying to make this year's new round of tests tougher than a 2011 version passed by some banks that then had to be bailed out. It is being preceded by an ECB review of bank holdings.

Austrian national bank governor Ewald Nowotny, a member of the ECB's governing council, was quoted Monday as telling German daily Sueddeutsche Zeitung that "the test will be very tough, perhaps even too tough."

He added: "My fear is that the ECB goes far beyond what the U.S. did with the ambition to do it particularly well. That could lead to exaggerations."

Copyright © The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

The Associated Press


    Catch up on the top news and features from, sent weekly.
    By subscribing, you acknowledge and agree to's Terms of Use and Privacy Policy.

    KSL Weather Forecast