No more stress tests for Irish banks this year, says ECB

The Irish banks will not have to undergo stress tests again this year, according to an ECB source.

Under the terms of the EU Banking Union, it was agreed that the banks under the direct supervision of the Single Supervisory Mechanism would be subjected to annual stress tests in order to safeguard the stability of the banking system.

However, an ECB source, speaking at the margins of a meeting of economic and finance ministers (EcoFin) in Brussels, said no decision had been made on the timing of the next stress tests, but it is highly unlikely they would be held this year on the basis that the ECB’s comprehensive assessment of the banking system carried out last year was wide-ranging.