RCB Bank announced on Saturday it has successfully completed the stress test carried out by the European Central Bank, which was aligned with the European Banking Authority (EBA) methodology.
The stress test results showed that the bank’s Common Equity Tier 1 ratio (CET1) is 16.58 per cent under the adverse scenario as at December 31, 2018, well above the regulatory minimum, including the fully phased in buffers applicable to the Bank.
“RCB considers the results as yet another confirmation of its financial strength and stability,” a statement said.
RCB has been supervised directly by the European Central Bank in coordination with the Central Bank of Cyprus under the Single Supervisory Mechanism since November 2014.
RCB is not in the list of 51 EU banks for which the European Banking Authority (EBA) conducted the stress tests.
Instead, it belongs in the list of the significant institutions for which the ECB performed the stress tests, as part of their annual Supervisory Review and Evaluation Process (SREP). Throughout the exercise, the ECB applied a robust quality assurance methodology.
RCB was established on August 1, 1995, and is one of four Cypriot systemic banks under the direct supervision of the European Central Bank through the SSM mechanism.
The Bank operates six branches in Nicosia and Limassol and a branch in Luxembourg.