European banks needed extra EUR 199 bn last year: EBA

(LONDON) - Top European banks would have needed another 199 billion euros ($256 billion) in capital, had they been required to meet the Basel III credit regulations in late 2011, the EBA oversight body said Thursday.

The London-based European Banking Authority (EBA) disclosed the information in its second update on monitoring the 44 largest banking institutions in the European Union.

The EBA, the EU body responsible for certain aspects of banking activity, added in a statement that large banks needed to raise 199 billion euros to bring their core capital to a minimum target of seven percent of assets.

The Basel III international banking regulations are to be phased in from 2013 to 2019.

Earlier this month the Basel Committee responsible for the regulations said that as of the end of last year the world's top 102 banks needed to 374 billion euros to meet Basel III standards.

The EBA required European banks to meet as of July a higher capital to assets ratio of 9.0 percent, but using a different measure of core capital.

The EBA said it would publish on October 3 a final report on banks' implementation of plans to establish temporary capital buffers, with information about individual lenders.

European Banking Authority (EBA)