BRUSSELS: Upcoming stress tests on banks will be harsher than last year's, the European Union's bank regulator said Friday, although important elements of the exercise deemed crucial to the region's crisis strategy remain undecided.
Last year's tests were widely considered a failure after some banks passed, only to require bailouts weeks later. The new test will see how banks fare with an extreme deterioration in financial markets and economic activity in order to gauge where the weak links in Europe's financial system are.