Many submissions reportedly include inaccuracies, are missing data By Simon Kennedy , MarketWatch LONDON (MarketWatch) — The results of Europe’s latest round of bank stress tests face delays as regulators ask some lenders to redo their calculations to rectify “inconsistencies or unrealistic assumptions.” The European Banking Authority had been planning to publish the test results later this month, but will now wait until July, according to a report in The Wall Street Journal, which cited a person familiar with the matter. In a statement, the EBA said no date has been set for publication because it needs to make sure it is satisfied with the quality of submissions from banks and their local regulators. “The EBA is currently assessing and challenging the first round of results from individual banks. This will mean that another round of data will be required from banks,” the pan-European authority said in an emailed statement. “Errors will have to be rectified and amendments made where there are inconsistencies or unrealistic assumptions,” it added. The stress tests, which began in March, are designed to examine how well European lenders would be able to stand up against another round of economic shocks. The Journal’s report said initial checks by the EBA found numerous examples of bank submissions that included inaccuracies or were missing data. Further examination has shown that many banks submitted data that downplayed their potential exposure to an economic slowdown, the Journal added. It isn’t clear which lenders or countries are at the center of concern.

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