The Bank of Slovenia’s macro stress tests found that the Slovenian banking system would maintain sound capital adequacy over the next three years under both baseline and adverse scenarios. Even under a severe scenario involving a significant decline in gross domestic product, higher inflation and geopolitical pressure on commodity prices, banks would continue to exceed minimum regulatory capital requirements, although geopolitical and energy risks remain elevated. Separate reverse stress tests examined scenarios designed by banks to produce a 300-basis-point decline in their capital ratios. The European Central Bank-led exercise covered Slovenia’s three significant banks, while the Bank of Slovenia applied the same methodology to smaller banks and savings banks. The scenarios and transmission channels varied across institutions but were generally assessed as reasonable and credible.
Central Bank of Slovenia2026-07-31
Bank of Slovenia stress tests confirm banking system resilience under adverse geopolitical and energy shocks
The Bank of Slovenia’s stress tests found that banks would maintain sound capital adequacy and exceed minimum requirements even under an adverse geopolitical and energy shock scenario. Reverse stress tests based on a 300-basis-point decline in capital ratios also found banks’ scenarios generally reasonable and credible.