FRANKFURT (MNI) – The European Central Bank is seeking professional
advice on how to minimize contagion should there be a default in the
Eurozone, German daily Handelsblatt reported Monday.
According to the report, the central bank has contacted more than
five financial institutions to encourage them to apply for the job.
Citing sources from financial circles, Handelsblatt said that ECB had
not awarded the contract yet.
In particular, the ECB is seeking advice on the refinancing and
liquidity of banks after a default.
According to Handelsblatt, such a scenario is plausible given
recent comments by institutions like the International Banking
Association (IIF), which indicated that the situation could take a turn
for the worse.
The ECB declined to comment on the Handelsblatt report.
–Frankfurt newsroom, +49-69-720-142; frankfurt@marketnews.com
[TOPICS: M$$EC$,M$X$$$,M$$CR$]
