On 28 July 2023 the European Banking Authority (EBA) published the results of the EU-wide stress test conducted in cooperation with the European Systemic Risk Board (ESRB), the European Central Bank (ECB) and the European Commission (EC). The forward-looking analysis covers the period 2023-2025 and considers the resilience of financial institutions to adverse economic shocks.
The exercise confirms Nordea’s well-managed risk profile and resilient capital position. The 2023 EBA methodology and scenario assumptions are relatively severe for our Nordic operating geographies.
Under the severe stress scenario, Nordea’s CET1 capital ratio is estimated to decline from 16.4% at year-end 2022 to 13.0% at year-end 2023 (low point) remaining well above capital and internal buffers. The reported CET1 capital ratio as at end Q2 2023 was 16.0%.
The 2023 EBA stress test is not expected to result in changes to our risk management or capital strategy.
The stress test results, scenarios and methodologies can be found on the website of the European Banking Authority: https://www.eba.europa.eu/.
For further information:
Media inquiries, +358 10 416 8023 or press [at] nordea.com (press[at]nordea[dot]com)