Austria: Bank Participation for Hypo Off

People ♦ Published: February 10, 2014; 17:43 ♦ (Vindobona)

A participation model with Austrian banks can be ruled out for ailing Hypo Group. Instead, a more expensive version will be applied.

Austria: Bank Participation for Hypo Off / Picture: © Wikipedia / JJ55 (30 March 2008)

The Austrian government was not able to win over domestic banks to participate in a downsizing unit of nationalized problem bank Hypo Group Alpe Adria. Now, Hypo will be liquidated as a national institution, which will push up state debts.

Only two weeks ago the officials were positive about the realization of the participation model. According to estimates, which were presented…