FRANKFURT (MNI) – Germany’s state-owned banks, or “Landesbanken”,
have the most at stake in upcoming stress tests, a report in a major
German financial newspaper suggested Wednesday.
The business daily Handelsblatt also noted that the sixteen German
banks taking part in the test were sent the questionaries Monday
evening.
They are to be filled out and returned by next Monday, the paper
said. Banks also had to hand over a declaration by Tuesday evening that
they are willing to have the results of their tests published.
The results of stress tests should be released around July 23,
French Finance Minister Christine Lagarde said over the weekend. They
will encompass over 100 banks throughout Europe.
According to the Handelsblatt analysis, Deutsche Bank and
Commerzbank, the latter a recipient of state support, have nothing to
worry about. Hypo Real Estate also belongs to the state and should
therefore be fine, the paper reckoned. Postbank should also survive
since its largest shareholder is Deutsche Bank, the paper pointed out.
The country’s seven state-owned banks (Landesbanken) could,
however, be worse off, Handelsblatt said, citing sector analysts. The
experts expect additional losses in the real estate sector and
write-downs on toxic assets.
–Frankfurt bureau; +49-69-720142; frankfurt@marketnews.com
[TOPICS: M$X$$$,M$G$$$,M$$CR$,MT$$$$,MGX$$$]
