State-backed Covid loans have light capital impact – EBA

Bank loans guaranteed by European Union member states tied up three times less regulatory capital than other corporate obligations, data from the European Banking Authority (EBA) shows.

As of end-June, €181 billion ($213.9 billion) of loans held by EU banks were subject to state-backed guarantees, about 1.2% of their total. Banks accounting for €162 billion of these exposures also reported their associated risk-weighted asset (RWA) amounts: €29 billion. RWAs are used to set regulatory capital

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: