Themen:
Media Release August 1, 2025

Deutsche Bank demonstrates enhanced resilience in 2025 EBA stress test

The 2025 EU-wide stress test conducted by the European Banking Authority (EBA) in cooperation with the European Central Bank (ECB) and the European Systemic Risk Board (ESRB), indicates that Deutsche Bank’s capital levels would remain significantly above supervisory required levels in all hypothetical stress scenarios. Deutsche Bank’s capital ratios would also remain considerably stronger than in hypothetical scenarios modelled in the previous EBA stress test in 2023, indicating the bank’s greater resilience under stress conditions.

The 2025 stress test indicates that:

  • In a ‘baseline’ scenario, Deutsche Bank’s Common Equity Tier 1 (CET1) capital ratio in 2027, the final year of the hypothetical three-year stress period of 2025-27, would be 14.31%, approximately 300 basis points above the supervisory minimum requirement of 11.3% for the baseline scenario.
  • In an ‘adverse’ scenario, the bank’s CET1 capital ratio in the final year of the hypothetical stress period would be 10.23%, more than 400 basis points above the supervisory minimum requirement of 6.1% for the adverse scenario.

In the 2025 stress test, the positive contribution from earnings before stress impacts is higher than in the 2023 stress test, reflecting Deutsche Bank’s significantly improved profitability in recent years. Accordingly, in the hypothetical ‘adverse’ scenario, the bank’s 2025 results show considerable improvements over 2023:

  • The bank’s CET1 capital ratio decline over the three-year stress period would be around 360 basis points from its end-2024 reported level, compared to approximately 530 basis points in the comparable period of the 2023 stress test. 
  • The bank’s CET1 capital ratio of 10.2% in the final year of the stress period would be higher by around 210 basis points compared to 8.1% in the final year of the 2023 stress test.

The stress test does not take account of potential management actions to mitigate adverse shocks and is based on a common scenario definition and methodology for all participating banks. The balance sheet as of 31 December 2024, and the profits for the 2024 financial year were used as a basis. Accordingly, the 2025 stress test does not take account of Deutsche Bank’s further improved profitability in 2025 to date. In the first six months of 2025, Deutsche Bank’s net income of € 3.7 billion was more than double that of the same period in 2024 and the bank’s CET1 ratio was 14.2%, compared to 13.8% at year-end 2024.

The macroeconomic assumptions for the adverse scenario were comparable to those in the 2023 EBA stress test, but more severe than the 2024 scenarios used by the Bank of England and the Federal Reserve, particularly in terms of cumulative domestic real GDP drops.

Key assumptions include a three-year recession from year-end 2025 through 2026 with some stabilization in the third year (2027); for Germany, this implied a 5.0 percentage point increase in the unemployment rate, a 7.5% cumulative three-year decline in Gross Domestic Product, and declines in real estate prices by 13% (residential) and 33% (commercial) over the three-year stress period, respectively.

Deutsche Bank’s results in detail:

Baseline scenario (all rations in %, transitional)

Supervisory
requirement 		 2025 2026 2027
CET1 Ratio 11.13 14.18 14.10 14.31
Tier 1 Ratio 13.37 17.41 17.30 17.49
Total Capital Ratio 16.10 19.59 19.46 19.62
Leverage Ratio 3.85 4.66 4.67 4.77

Adverse scenario (all rations in %, transitional)

Supervisory minimum
requirement		 2025 2026 2027
CET1 Ratio 6.13 9.25 9.43 10.23
Tier 1 Ratio 8.18 11.92 12.24 13.20
Total Capital Ratio 10.90 13.72 14.13 15.19
Leverage Ratio 3.10 3.85 3.77 3.85

Details on Deutsche Bank’s results are available on the EBA's website. 

About Deutsche Bank

Deutsche Bank provides retail and private banking, corporate and transaction banking, lending, asset and wealth management products and services as well as focused investment banking to private individuals, small and medium-sized companies, corporations, governments and institutional investors. Deutsche Bank is the leading bank in Germany with strong European roots and a global network.

 

Forward-looking statements

This release contains forward-looking statements. Forward-looking statements are statements that are not historical facts; they include statements about the bank’s beliefs and expectations and the assumptions underlying them. These statements are based on plans, estimates and projections as they are currently available to the management of Deutsche Bank. Forward-looking statements therefore speak only as of the date they are made, and the bank undertakes no obligation to update publicly any of them in the light of new information or future events.

By their very nature, forward-looking statements involve risks and uncertainties. A number of important factors could therefore cause actual results to differ materially from those contained in any forward-looking statement.

Such factors include the conditions in the financial markets in Germany, in Europe, in the United States and elsewhere from which Deutsche Bank derive a substantial portion of the bank’s revenues and in which the bank holds a substantial portion of its assets, the development of asset prices and market volatility, potential defaults of borrowers or trading counterparties, the implementation of the bank’s strategic initiatives, the reliability of the bank’s risk management policies, procedures and methods, and other risks referenced in the bank’s filings with the U.S. Securities and Exchange Commission. Such factors are described in detail in the bank’s SEC Form 20-F of March 13, 2025, under the heading “Risk Factors”. Copies of this document are readily available upon request or can be downloaded from www.db.com/ir

 

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