BERLIN (MNI) – German private banks have a recapitalisation need of
“just above E5 billion,” a senior German finance ministry official said
Thursday.
The government plans now to reactivate the financial market
stabilisation law which expired at the end of last year, the source
said. Under this law the government can support banks without demanding
an orderly liquidation of the bank at the same time.
“In the near future we will approach the Bundestag [the lower house
of parliament] on this matter,” the official explained.
–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com
[TOPICS: M$X$$$,M$G$$$,MGX$$$,MT$$$$,MFX$$$,M$$CR$]
