EU plans tougher stress tests

EUROPEAN Union officials are planning a new round of stress tests on banking institutions, in an attempt to remedy exams over the summer that failed to predict the current effects of the euro crisis on the banks.

However, the EU said it might not publish the results of the next batch of examinations of banking capital.

European economic commissioner Olli Rehn conceded in Brussels that the original stress tests were inconsistently applied, and said the new European Banking Authority that opens in 2011 will have the power to conduct more rigorous tests.