The third Financial Stability Committee report concerned itself with more than just domestic developments. Corrections on the Chinese markets and political uncertainty triggered by the refugee crisis and Brexit are also having an impact on the German financial system.

The Financial Stability Committee (FSC; Ausschuss für Finanzstabilität) presents its twelfth report to the German Bundestag covering the reporting period from 1 April 2024 to 31 March 2025. The FSC dealt with developments in the risk situation and resilience in the German financial system as well as the appropriateness of the package of macroprudential measures. Among other things, the FSC …

The German financial system remained resilient in the second half of 2024. Macro-financial conditions improved gradually over the course of the year, and existing vulnerabilities declined slowly and in an orderly manner.

The German Financial Stability Committee (FSC) agrees with the risk assessment and the conclusions of the European Systemic Risk Board (ESRB) in its warning on vulnerabilities in the European financial system. The ESRB’s warning is also addressed at national authorities with responsibility for financial stability. The Committee supports the ESRB’s call to preserve or further build up micro and …