Erste Bank to Keep State Capital Into 2012

Published: October 8, 2011; 11:46 · (Vindobona)

According to Bloomberg, Erste Group Bank, Austria’s biggest lender, may not repay € 1.2bn in state aid until 2012.

Erste Bank to Keep State Capital Into 2012 / Picture: © Erste Group / Helmut Lackner

Erste, which is also the second-biggest bank in the CEE region, has already missed its goal to redeem the funds in the third quarter. Of the 12 analysts that don’t expect repayment this year, 10 predict it to start next year.

Banks and regulators may be keen on retaining the capital as sentiment about Europe’s sovereign-debt crisis worsens and policy makers consider rescuing…

This article includes a total of 303 words.

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