The Bundesbank has conducted an analysis of how internal capital adequacy is ensured within the German banking market. The results are generally positive, but most of the institutions still show a need for further structural improvement.

The January 2019 edition of the Bundesbank’s Monthly Report looks into how a normalisation of interest rates will impact on balance sheets in the euro area’s private non-financial sector and explores price competitiveness in a number of euro area countries in terms of the development, drivers and influence of labour market reforms. The Report also features an analysis of financial cycles in the euro area and sheds light on International Financial Reporting Standard (IFRS) 9 from a banking supervision angle.