In focus: the ECB financial stability review

Financial stability conditions have deteriorated across the euro area and beyond as higher inflation – exacerbated by rising energy and commodity prices – and Russia’s war in Ukraine test the post-pandemic recovery. Against this backdrop, Jérôme Henry, principal adviser in the directorate general macroprudential policy and financial stability, European Central Bank, discusses the bank’s latest financial stability review. He delves into the implications for financial markets, debt sustainability, bank resilience, the non-bank financial sector and macroprudential policies.