Capital ratios for significant institutions increase slightly in the fourth quarter of 2018, with total capital ratio at 17.95% (up from 17.83% in the third quarter).

NPL ratio falls to 3.80%, lowest level since time series first published in 2015.

Liquidity coverage ratio increases to 145.61%.

Capital Adequacy

The capital ratios for the aggregated group of significant institutions, i.e. the banks supervised by the ECB, increased slightly in the fourth quarter of 2018 compared with the previous quarter. The Common Equity Tier 1 (CET1) ratio stood at 14.34%, the Tier 1 ratio at 15.54% and the total capital ratio at 17.95%. Average CET1 capital ratios at participating Member State level range from 11.93% in Spain to 25.48% in Luxembourg.

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