trending Market Intelligence /marketintelligence/en/news-insights/trending/dEBnd47G3uL-tciLBT-ZDg2 content esgSubNav
In This List

Czech banks, insurers show resilience in stress tests

Blog

Banking Essentials Newsletter: 17th April Edition

Blog

Banking Essentials Newsletter: 7th February Edition

Case Study

A Bank Outsources Data Gathering to Meet Basel III Regulations

Podcast

Private Markets 360° | Episode 8: Powering the Global Private Markets (with Adam Kansler of S&P Global Market Intelligence)


Czech banks, insurers show resilience in stress tests

The Czech National Bank's stress tests of local banking and insurance companies showed that the country's financial services sector would be largely resilient if presented with impaired economic conditions.

For the first time the stress tests were aligned with the European Banking Authority's methodologies, the Czech central bank said Dec. 14.

The tests confirmed the banking sector's ability to retain capital amenities above the regulatory 8% even in the event of a decline in domestic and foreign economic activity.

The stress tests of the insurance sector revealed that companies were adequately capitalized and capable of handling significant risks.

The tests, which were carried out at the end of 2017, revealed an overall solvency ratio in the case of shocks to be 177% for Czech insurance companies, significantly higher than the regulatory minimum of 100%.