Hypo Group: No Alternative to Bad Bank

Politics ♦ Published: January 14, 2014; 23:22 ♦ (Vindobona)

The time pressure on the Austrian government is growing day by day. The nationalized Austrian problem bank urgently needs a bad bank.

Hypo Group: No Alternative to Bad Bank / Picture: © Vindobona.org

This week, the Austrian government is expected to receive an expert paper about possible downsizing options for state-controlled problem bank Hypo Group Alpe Adria.

In total, there are four options: the creation of a bad bank, the bankruptcy, the participation of privately held Austrian banks in a downsizing unit and the continuation of the status quota.

Experts consider a…