The European Commission has published the study “The Impact of State Aid Rules for Banks in Difficulty”, prepared by E.CA Economics together with a team of experts.

The study evaluates the impact of State aid granted to banks following the financial crisis and assesses whether the applicable State aid rules achieved their objectives with respect to financial stability, bank viability, competition, market discipline, moral hazard, and the efficiency of the framework. Drawing on a unique dataset covering the period from 2007 to 2021, the study provides evidence on the effects of different forms of State aid and their implications for future policy design.

Authors: Dr Elżbieta Głowicka; Dr Thomas Hildebrand; Jan Málek, PhD; Weijie Yan, PhD; Lukas Gieser; Vedika Hegde; Zachary Herriges; Giulio Pietrobelli; Giulia Santosuosso; Simon Specht; Francesca Urzi and others.

You can read more about the study here.