Bank Lending in Europe: SMEs Are Main Concern, EBA Says

The transcript discusses the current state of EU bank lending, emphasizing the importance of liquidity and support for customers, especially during economic challenges. It highlights the role of banks in providing moratoriums and liquidity mechanisms, supported by government and industry initiatives. Regulatory measures, including the use of capital buffers, are discussed to ensure banks can continue lending. The importance of risk assessment and the flexibility of regulations to address liquidity and solvency concerns are also covered.

What measures have regulators encouraged banks to take regarding capital buffers?

In what ways can banks assess the creditworthiness of their counterparties during a crisis?