Euro-Zone Banks Tighten Firms’ Credit Standards Most Since 2023

Euro-zone banks tightened corporate credit standards by the most in more than two years at the start of 2026, as geopolitical events including the Iran war added to an already prevailing trend.

The tightening stood above the historical average and was the most pronounced since the third quarter of 2023, “highlighting a continued cumulative tightening trend that began in mid-2025,” the ECB said Tuesday in its first-quarter Bank Lending Survey.