The 2019 EBA Policy Research Workshop took place in Paris on 27-28.11.19. Prof. Rym Ayadi, President of the Euro-Mediterranean Economists Association – EMEA, and Chair of the Banking Stakeholders Group of the European Banking Authority, participated at the panel to discuss a paper on “The Disciplining Effect of Supervisory Scrutiny in the EU-wide Stress Test” co-authored by Christoffer Kok, Carola Müller and Cosimo Pancaro.
Prof. Ayadi emphasised the disciplining effect of stress test 2016 exercise and urged the researchers to continue investigating the role of using stress tests and IRB models quality assurance and market discipline.
Aim of the workshop was to explore the future of stress testing in the banking sector in Europe and the measures that could be taken by policy makers to improve and reap further benefits after several years of stress test exercises in the banking sector.