Comprehensive assessment

The ECB together with the national supervisors carries out financial health checks of the banks it supervises directly. These comprehensive assessments help to ensure that the banks are adequately capitalised and can withstand possible financial shocks.

Comprehensive assessments are carried out either regularly or on an ad hoc basis:

regular: an initial health check of banks that have been recently classified as significant (meaning they will now be supervised directly by the ECB)

ad hoc: an assessment prompted by exceptional circumstances

Aims

Transparency enhance the quality of information available on the condition of banks Repair identify problems and implement necessary corrective actions Confidence building assure all stakeholders that banks are fundamentally sound and trustworthy

Methodology

The assessment usually comprises two main pillars: