EUROZONE banks have raised 35 percent more capital ahead of the European Central Bank’s (ECB) latest stress test than they had set aside before the 2011 review, according to a report published by law firm Linklaters.

    The eurozone’s 130 most important banks are set to find out Oct. 26 how they have fared in the ECB’s landmark review, which is designed to banish lingering doubts about whether lenders value assets properly and are strong enough to withstand another recession.

    Linklaters said the eurozone banks have raised 35 billion euros (US$45.5 billion) ahead of the review, a figure that could rise to nearly 50 billion euros by the end of the year.

    Reuters’ own research showed the eurozone’s 20 listed banks had increased equity by 4 percent, or 26 billion euros, in the first half of this year and had put a similar amount into loan loss provisions.

    Linklaters’ data include 1 billion euros raised by Portugal’s bailed-out Banco Espirito Santo which is no longer featured in the ECB’s assessment.(SD-Agencies)