–Le Monde Report Comes Ahead Of EBA Recapitalisation Exercise
LONDON (MNI) – French banks will need to find E7bn to comply with
the European Banking Authority’s recapitalisation recommendations which
are due to be released tonight, Le Monde reports.
“From now until June 2012, French banks need to find E7bn of new
capital to comply with the demands of the European Banking Authority
(EBA),” according to a story published in today’s issue of Le Monde.
Le Monde says that, although this is a “financial shock”, a
recapitalisation of this scope “could be possible without state aid”.
Last October, the EBA estimated that the French banking sector
would need E8bn. However, since then, the banks have improved their
financial situation by selling the debt of the more fragile southern
euro zone states and strengthening their own funds.
The EBA and national bank regulators will release official results
and recommendations of their recapitalisation exercise tonight between
1700GMT and 1730GMT (1800CET and 1830CET).
–London Bureau; Tel: +442078627492; email: sarah.mewes.ntkn.com
[TOPICS: M$X$$$,MGX$$$]