Bloomberg News

European Banks Said to Need EU100 Billion in Capital on EBA Test

October 22, 2011

Oct. 22 (Bloomberg) -- European banks may need about 100 billion euros ($139 billion) in capital after marking their sovereign debt holdings to market values in an examination by Europe’s top banking regulator, according to a person familiar with the discussions.

The European Banking Authority told Finance Ministers in Brussels that the region’s lenders would need to raise that amount to reach a core tier 1 capital level of 9 percent, said the person, who declined to be identified because discussions are private. Talks with policymakers are still ongoing so the final number may change, the person said.

Reuters reported the amount of capital needed earlier today.

To contact the editor responsible for this story: Aaron Kirchfeld at

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