Capital Raising in European Banks

  • Antonella Cappiello
  • Paola Ferretti


The continuing tension in the European financial markets is accompanied by the requests by the competent banking authorities to strengthen the capital base of the European banks. Several initiatives have been carried out to this end during the recent years. This chapter aims at describing the various steps of the recapitalisation process of the European banking system. Additionally, the chapter gives an overview of recapitalisation operations for a sample of European banks during the period 2012–2016. The analysis is designed to assess whether the capital increase genuinely contributed to the soundness of banks or whether a more balanced solution would be to focus jointly on different drivers to achieve this goal, in primis the improvement of the risk management and efficiency.



This chapter is the result of the joint effort of the two authors, who equally contributed to the work.


  1. EBA. (2012, October). Final report on the implementation of capital plans following the EBA’s 2011 Recommendation on the creation of temporary capital buffers to restore market confidence. Google Scholar
  2. ECB. (2014, October). Aggregate report on comprehensive assessment, Frankfurt.Google Scholar
  3. ESRB—European Systemic Risk Board Data. (2016, January). Adverse macro-financial scenario for the EBA 2016 EU-wide bank stress testing exercise.Google Scholar

Copyright information

© The Author(s) 2018

Authors and Affiliations

  • Antonella Cappiello
    • 1
  • Paola Ferretti
    • 1
  1. 1.Department of Economics and ManagementUniversity of PisaPisaItaly

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