EU's Kroes wants coordinated exit plan for banks

BRUSSELS, Nov 9 (Reuters) - European Union states should tell investors they will work together on a strategy to wean banks off state support when the economy improves, the EU's anti-trust chief will tell finance ministers on Tuesday.

European Competition Commissioner Neelie Kroes is due to brief a meeting of EU finance ministers in Brussels on Tuesday.

"She will propose that member states should tell markets that there will be a coordinated phasing-out strategy and that banks should get prepared to stand up on their own feet again, as soon as there is confidence that the crisis is over," a Commission statement said on Monday.

Kroes's comments echo those of EU policymakers and central bankers who have underlined the need to start phasing out exceptional monetary and fiscal stimulus measures to prop up economies.

Kroes, whose task is to ensure fair competition in the 27-country EU, approved a series of bank rescue schemes during the credit crunch late last year but now wants lenders to sell assets and cut their balance sheet in return for approval of the bailouts. Royal Bank of Scotland (RBS.L) and Lloyds (LLOY.L), Britain's two largest retail banks, agreed this month to sell hundreds of branches and key businesses to appease EU competition concerns over state aid.

Dutch flagship bancassurer ING (ING.AS) announced last month it was splitting in two in return for state aid. (Reporting by Foo Yun Chee; Editing by Dan Lalor)