Funds to protect deposits in case of bank failure are going up, EBA data shows
The European Banking Authority (EBA) today published end-2023 data related to two key concepts and indicators in the Deposit Guarantee Schemes Directive (DGSD), namely available financial means (AFMs) and covered deposits. The EBA publishes these data for the deposit guarantee scheme (DGS) in each Member State on a yearly basis to enhance the transparency and public accountability of DGSs across the EEA to the benefit of depositors, markets, policymakers, DGSs and Members States.
- Funds to protect deposits in case of bank failure are going up, EBA data shows
- Deposits protected by EU deposit guarantee schemes (DGS) increased by 1.7% to 8.5 trillion Euros between 2022 and 2023, whereas funds available to protect those deposits in case of bank failures rose by 14.9% to 73 billion Euros. - The European Banking Authority (EBA) today published end-2023 data related to two key concepts and indicators in the Deposit Guarantee Schemes Directive (DGSD), namely available financial means (AFMs) and covered deposits.
- Under the DGSD, covered deposits are guaranteed up to 100,000 Euro or the equivalent in other currencies per depositor at each bank.
- In parallel, EEA DGSs are obliged to raise funds from credit institution for the main purpose of reimbursing depositors in case of bank failures.