EBA Proposes Bank Stress Tests with Climate Risk
The European Banking Authority has launched a consultation on a simplified EU-wide stress test for 2027. For the first time, the draft methodology proposes integrating climate risk into the assessment of banks' resilience. The EBA aims to create a more streamlined process while ensuring that emerging risks like climate change are adequately measured. Stakeholders are invited to provide feedback on the draft proposal to shape the future of bank supervision.
Your bank's stability may soon be tested against climate change risks under new EU proposals.