Report: European banks have €84B hole in their finances - OECD

|By:, SA News Editor

European banks have a total capital shortfall of around €84B, the OECD has reportedly calculated.

French bank Credit Agricole (CRARF) has the biggest gap with a hole of €31.5B.

Of other major banks, Deutsche Bank's shortfall is €19B; in a recent earnings report, the German firm said its Tier 1 capital ratio was 9.7% and its leverage ratio 3.1%.

While the OECD uses a different method to calculate banks' capital than the ECB uses, the OECD believes the central bank will come to the same conclusion as the organization has done in stress tests later this year.