HELSINKI: Finnish banks operating in the country which were involved in stress test performed well. “It is known that they (Finnish banks) are financially sound. All went into the test from a good position,” Financial Supervisory Authority (FIN-FSA) Deputy Director Marja Nykänen said on Saturday.
The OP Pohjola financial group, Nordea bank, and Danske Bank were assessed in the stress test. All the assessed Finnish banks’ capital adequacy remained at a good level in stressful situations. Nykänen, however, pointed out that even though the banks did well, their operating environment is challenging. “You have to remember that Finnish banks’ weak economic outlook and low interest rates pose challenges to the banks,” Nykänen added.
Danske bank announced that it had clearly exceeded the stress test requirements. Nordea meanwhile said that its capital structure is sound. The stress test, according to Nordea, was answered by the group’s internal tests and regulatory authority test results. Nordea announced that the results will not change the bank’s capital planning or capital adequacy targets.
