Euro zone banks must prepare to cope with geopolitical shocks, ECB warns

In the current year, the ECB's banking supervisor wants to focus on the banks' handling of the risk of hacker attacks. Digitalisation is essential for banks to remain competitive, said ECB President Christine Lagarde in the Annual Report 2024 of the Banking Supervision. "But this must be accompanied by sound risk management, addressing issues such as excessive dependency on IT service providers and the ongoing threat of cyber attacks," she wrote…

ECB warns banks to be prepared for geopolitical shocks

Eurozone banks are resilient but need to be ready for geopolitical shocks and their consequences, including the risk that liquidity could dry up amid jittery financial markets, European Central Bank supervisory chief Claudia Buch said on Thursday. Policy reversals in some key areas by U.S. President Donald Trump‘s administration have unsettled investors in recent months, and policymakers are now assessing how this could affect growth, stability,…

The European Central Bank's head of supervision, Claudia Buch, said on Thursday that eurozone banks are resilient but need to be prepared to deal with geopolitical shocks and macroeconomic financial threats...

Euro zone banks must prepare to cope with geopolitical shocks, ECB warns

FRANKFURT (Reuters) – Euro zone banks are resilient but need to be prepared to handle geopolitical shocks and macro-financial threats, European Central Bank supervisory chief Claudia Buch said on Thursday. Policy reversals in some key areas by U.S. President Donald Trump’s administration has been unnerving financial markets in recent months, and policymakers are now assessing how this could affect growth, stability and financial risk. This comes…

European Banks: Potential Rebound Opportunity – Hamilton ETFs

For years, European banks faced significant challenges, from the Global Financial Crisis (GFC) to the European sovereign debt crisis and a prolonged period of ultra-low interest rates. However, through strengthened regulations, improved capital buffers, and operational resilience, they have emerged as stronger and more competitive financial institutions. Today, the European banking sector, as represented by the STOXX Europe 600 Banks Index, is e…

The vice president of the European Central Bank (ECB) and former Spanish minister of economics, Luis de Guindos, has been optimistic this Thursday about the deflating process in the eurozone, while he has been "more cautious" about growth in the face of geopolitical and commercial uncertainty, so he has recognized that it is "very difficult" to predict what the entity's next movement will be at its April meeting.