The nation is said to be speeding up processes to free up capital in Italy by setting up a bad bank
On Tuesday, Georgiades dispelled the theory, laying out the real reason the government had been opposed to funding a bad bank
The establishment of a bad bank
is set to have two advantages: the state ownership in the new bad bank
will dilute to below 5% and it is the first step towards making state bankA BelfiusA saleable again.
RBS also revealed it will create an internal bad bank
for problem assets - but avoid a full split.
It seems as if RBS and the UK government have not been able to completely quantify the toxic assets on the balance sheet which is perhaps why the bad bank
wasn't spun off separately.
By creating a bad bank
either as an external institution that is legally and operationally separate from the original bank or an internal entity responsible for winding down ring-fenced portfolios of troubled assets, Greek banks can do more to regain the trust of investors and depositors.
That review will assess whether a bad bank
could maximise RBS's ability to support the British economy, get best value for the taxpayer and accelerate the bank's return to private ownership.
Most people were seen waiting patiently outside the branches of Laiki Bank, which according to Eurogroup's decision will be resolved in a good and bad bank
immediately - with full contribution of equity shareholders, bond holders and uninsured depositors of less than 100,000 euro.
Summary: Sir Mervyn King calls for the Royal Bank of Scotland to be broken up into a good and bad bank
But Spain has been keen to attract foreign firms as shareholders, in part to lend credibility to the bad bank
, known as Sareb.
The rules for the new bad bank
plan were laid out yesterday.
Summary: ABUJA, Jul 19, SPA -- Nigeria&'s president on Monday signed into law legislation creating an asset management company to soak up bad bank
loans, central bank Governor Lamido Sanusi told Reuters.