Wednesday, December 1, 2010

Plans for New EU 'Stress Tests' Spur Squabbling

Wall Street Journal
December 1, 2010

European officials are planning a new round of bank "stress tests" designed to be more rigorous than last summer's widely criticized exams, but the effort is already beset by squabbling and the possibility that the test results won't become public.

While some European leaders are pushing for next year's tests to be broader and more transparent than last summer's exercise, the agency that will oversee the tests says it might opt to not publicly disclose the results.

The planned European Union stress tests are a follow-up to the summer's exams of 91 European lenders, whose results were published in an attempt to restore confidence in the health of the continent's banks.

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