Bankia to be recapitalised through FROB bank fund: De Guanos

MADRID Wed May 30, 2012 10:48am BST

Spain's Bankia bank headquarters building is seen in Madrid May 29, 2012. REUTERS/Juan Medina

Spain's Bankia bank headquarters building is seen in Madrid May 29, 2012.

Credit: Reuters/Juan Medina

Quotes

   

MADRID (Reuters) - Nationalised lender Bankia (BKIA.MC) will be recapitalised through the FROB bank fund, which will issue bonds, Spain's Economy Minister Luis De Guanos said on Wednesday.

"It will be the usual mechanism, through the FROB issuances", De Guanos told journalists after a parliamentary debate on Spain's ongoing banking reform.

The FROB currently has more than four billion euros available while Bankia asked on Friday for a 19 billion euros rescue from the state.

He also said the country's banking crisis does not begin and end with Bankia.

(Reporting by Robert Hetz and Julien Toyer; editing Nigel Davies)

Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.