Third, we are preparing to conduct a comprehensive assessment of all banks that will come under direct ECB supervision, which is required by the SSM Regulation. The assessment will involve a Balance Sheet Assessment (BSA), including an Asset Quality Review, to be conducted by the ECB together with the national supervisors and assisted by external expertise.
This will then feed into the overall stress test to be conducted by EBA, in cooperation with the ECB. Technical work on the design of the BSA is al-ready underway, and it will accelerate throughout the summer.