Central Banks•30 September 2026•
1 min read

ECB’s Frank Elderson Discusses Supervisory Risk Appetite and Efficiency

Key Facts

1Frank Elderson, ECB Executive Board member, delivered a speech focusing on supervisory risk appetite and the effectiveness of banking supervision.

Frank Elderson, a member of the ECB Executive Board, delivered a speech focusing on the conceptual framework of supervisory risk appetite and the effectiveness of banking oversight. In the address released by the ECB on September 30, 2026, Elderson emphasized the necessity of efficiency and effectiveness in the central bank's supervision of the banking sector.

The speech detailed how the ECB manages its supervisory duties and communicates its tolerance for risks within the Eurozone financial system. This focus on refining oversight comes as supervisory data indicates that euro area banks' return on equity has stabilized at over 10%, highlighting the balance between maintaining a resilient banking sector and supporting the broader economy.