Q3 2025 EU/EEA bank data shows stable asset quality and resilience amid risks

The European Banking Authority (EBA) published its Q3 2025 Risk Dashboard (RDB) within the European Data Access Portal (EDAP). The data confirm that asset quality, solvency, liquidity, and profitability in EU/EEA banks remain stable amid heightened macroeconomic and geopolitical risks.

Final supervisory data for Q3 2025 support preliminary indications from the EBA’s recent Risk Assessment Report. Key indicators show resilience:

• The common equity tier 1 (CET1) ratio remained robust at 16.3%, with risk-weighted assets (RWA) totaling EUR 10.1 trillion, unchanged from the previous quarter.
• The liquidity coverage ratio (LCR) slightly declined to 160.7% from 161.7%, reflecting a stronger rise in the denominator than the numerator. The net stable funding ratio (NSFR) decreased marginally to 126.8% from 127.2%.
• Total assets remained steady at EUR 29.1 trillion. Debt securities increased by 2%, raising their share of total assets to 14.9%. Loans to households and non-financial corporations (NFCs) grew by 0.2%. Loans collateralized by residential real estate (RREs) declined slightly after a strong first half of 2025.
• Total liabilities increased marginally to EUR 27.1 trillion. Customer deposits from households decreased slightly, while NFC deposits grew nearly 3%. The loans-to-deposits ratio for households and NFCs fell by 70 basis points to 105.6%.
• Non-performing loan (NPL) volumes remained broadly stable at EUR 373 billion, with an NPL ratio of 1.8%. Consumer credit and SME loans continued to show the highest NPL ratios. Stage 2 loans decreased slowly to 9.3%. The cost of risk was 0.47%, the lowest since Q3 2023.
• Return on equity (RoE) remained stable at 10.7%. The net interest margin (NIM) slightly decreased to 1.58%, with stabilization in the downward trend. The cost-to-income ratio decreased gradually to 52.3%, as costs fell faster than income due to banks’ cost control measures.

The EDAP platform now hosts the Risk Dashboard, enhancing transparency and data accessibility. Stakeholders can download underlying data directly, facilitating analysis and use of supervisory information. Future releases will include additional data, such as the results from the Transparency exercise and Pillar 3 disclosures in Q1 2026.

For detailed data and visualizations, visit the original source.