Eight European Banks Fail

European Banking Authority, the European Banking Authority (EBA), the pressure test conducted on 90 banks in the region. According to AP and AFP on Saturday (07/16/2011), the results of these tests showed eight banks failed.

Meanwhile, according to the EBA, from number 90 the bank said, there are 16 banks that fall into the danger zone of the financial crisis. EBA requested that the national financial regulators can ensure the bank's capital.

The eight banks that fail that test is 5 from Spain, 2 in Greece, and an Austrian bank. Earlier on Wednesday, the Bank Helaba Germans had withdrawn from the pressure test that could be deemed included in the banks that failed in the test pressure.

EBA in the announcement of the eight banks are clearly named and the owner of the bank failing to pressure test. In Austria, Volksbank Oestereichische declared a failure. Meanwhile, in Greece, two government-owned bank EFG Eurobank-ATEbank and also declared a failure.

Meanwhile, the Spanish bank that failed is the Caixa Catalunya, Father, Unnim, Caja3, and CAM. Seven others are still done the pressure test.

Although many banks in Spain that have failed the test, the Central Bank of Spain Governor Miguel Angel Fernandez Ordonez said no need to inject funds into banks is because they are middle restructured.

After the announcement of this EBA, Central Bank of Portugal said the two state banks will be immediately strengthen their finances. Banco Comercial Portugues, Portugal's largest bank, and Espirito Santo Financial Group will strengthen its capital within three months. Banks in Portugal are also experiencing a crisis that must be injected liquidity assistance amounting to 78 billion euros.

The announcement of the test pressure on banks in Europe also came out just a day after the Italian parliament approved the package of savings amounting to 70 billion euros. Italian banking itself passed the pressure test with a considerable margin.