This paper focuses on the important issues of Montenegro economy which are as follows: microfinancial setting, financial system resilience, financial oversight, resolution of nonperforming loans, and financial safety nets. Montenegro is still dealing with the aftermath of the collapse of the...

World economies during the last century have witnessed a number of financial and banking crises resulting in tremendous loss in inflicted economies. The severity of these losses prompted Prudential authorities (World Bank, European Central Bank, International Monetary Fund -IMF and Central Banks...

This paper presents an approach to a macroprudential stress test for the euro area banking system, comprising the 91 largest euro area credit institutions across 19 countries. The approach involves modelling banks’ reactions to changing economic conditions. It also examines the effects of...