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ECB supervisory banking statistics Q2 2025: capital ratios up, NPLs down, profitability stable

The European Central Bank published its supervisory banking statistics for significant institutions for the second quarter of 2025. The data show a broadly stable picture of capital strength, asset quality, profitability, and liquidity across euro area banks under direct ECB supervision.

Non-bank financial institutions: transmission channels and regulatory challenges

Patrick Montagner, Member of the Supervisory Board of the ECB, writes in Eurofi Magazine about the rising role of non-bank financial institutions (NBFIs) and the risks they pose to financial stability. While NBFIs now represent more than half of euro area financial sector assets, their diversity in size, business models, and regulatory treatment makes oversight […]

Christine Lagarde: “This time is never different” – safeguarding financial stability

In her opening speech at the 10th ECB Annual Research Conference, Christine Lagarde, President of the European Central Bank, stressed that despite constant transformation in the financial system, the nature of risks does not change – old problems reappear in new forms. The conference, co-organised with Stanford’s Hoover Institution, is provocatively titled “The Next Financial […]

Euro area bank interest rate statistics: July 2025

Composite cost-of-borrowing indicator for new loans to corporations decreased by 8 basis points to 3.52%; indicator for new loans to households for house purchase broadly unchanged at 3.28% Composite interest rate for new deposits with agreed maturity from corporations decreased by 5 basis points to 1.89%; interest rate for overnight deposits from corporations broadly unchanged at 0.51% Composite interest rate for new deposits with agreed […]

Contribution by Philip R. Lane, Member of the Executive Board of the ECB, to IMF Finance & Development Magazine

The digital euro project has a simple motivation: to ensure that people in a digital world retain the option to make or receive payments in central bank money. Supplementing physical cash with digital cash will support the modernization of the traditional two-tier monetary system that allows both cash and bank deposits as a medium of […]

ECB and People’s Bank of China extend bilateral euro-renminbi currency swap arrangement

ECB and People’s Bank of China extend euro-renminbi currency swap arrangement for another three years Swap arrangement has maximum size of CNY 350 billion and €45 billion Arrangement serves as backstop liquidity facility to address potential shortages of Chinese renminbi at euro area banks