Federal Financial Supervisory Authority (BaFin) said the country’s banking system is undergoing a real-life stress test amid the recent global volatility, while predicting significant weakness for the commercial property sector.
Germany has seen the same impacts from higher rates as many other nations around the world, President of the BaFin Mark Branson said in statements on Tuesday.
He said that the German banking system has taken some pain, but highlighted that there is no systemic danger and the financial system has managed to absorb the impacts of higher rates well.
“We don’t have a global banking crisis at the moment, but we have a nervous time and a kind of real life stress test for parts of the system,” he outlined.
Source: Qatar News Agency