Articles on the economy
Based on a stress test conducted jointly by the Bank of Finland and the Financial supervisory Authority, Finnish banks are well placed to weather a serious crisis on the Nordic housing markets.
The Bank of Finland and Financial Supervisory Authority’s new stress-testing framework can be used to assess the ability of Finnish banks to cope in severe domestic or Nordic economic crises.
An extensive materialisation of risks on the Swedish housing market could also have notable effects in the other Nordic countries.
Low risk premia and high valuations have increased global securities markets’ exposure to price corrections and abrupt shifts in risk premia.
Investors’ optimism on the financial markets can rapidly turn to risk aversion if global economic or political uncertainty increases.