Situation.
National banking system under severe stress, with systemic banks holding non-performing exposures well above euro-area norms.
Bank rescue.
European financial authority
Challenge.
Rapid action was needed under regulatory, legal and political constraints, with asset quality contested between banks and authorities.
What we did.
Conducted an asset-quality review and stress test, developed restructuring and recapitalisation options, and coordinated execution with national and European authorities.
The outcome.
Capital shortfall was quantified in the low single-digit EUR billions. Recapitalisation was executed, impaired assets transferred to a resolution vehicle and the system stabilised.
Anonymised engagement. Figures are approximate. Targets, assessed potential, approved programmes and realised results are described separately in the outcome. Converted amounts use ECB reference rates dated 18 September 2026, rounded to two significant figures.
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