About: banking crisis Archives

Four major Greek banks must find up to €14.4 billion to survive potential economic shocks, the European Central Bank said, releasing the results of an in-depth financial health check.

It is a headache Greece's government does not need right now - how can it loosen the capital controls that are shielding its banks, but strangling the rest of the economy?

Britain's clout in the European Union is weakening, just when plans for a capital markets union present a "golden opportunity" for London's financial sector, UK lawmakers said on Monday (2 February).

French and British banks are urging the European Commission to reconsider plans to isolate high-risk trading activities at big banks, warning the move could discourage lending to struggling economies.

Spain will hold off on selling more of its controlling stake in lender Bankia until the results of Europe-wide bank stress tests in October, Economy Minister Luis de Guindos said in an interview published on Sunday.

The time has come for France to resist Germany's "obsession" with austerity and promote alternative policies across the eurozone that support household consumption, firebrand French Economy Minister Arnaud Montebourg said on Sunday.

Portugal has announced it will spend €4.9 billion to rescue its largest listed bank, testing the euro zone's resilience to another banking crisis just months after Lisbon exited an international bailout.

In an attempt to save taxpayers' money, the European Commission is considering a levy on the financial industry to fund the EU markets, banking and insurance watchdogs.

SPECIAL REPORT / The European Greens will push for a compulsory ring-fence between banks' riskier investment banking and retail activities, such as mortgages and lending to small businesses, after the European elections.

Rolling power cuts are taking place throughout the Republic of Cyprus yesterday (25 February) as part of protest measures by the Electricity Authority of Cyprus (EAC) against government plans to privatise semi-governmental organisations, as agreed with the Troika of lenders.

Eurozone finance ministers agreed yesterday (13 November) to allow Spain to exit an aid programme for its banking sector in January without drawing more European funds.

Eurozone officials have no intention of changing the terms of a bailout for Cyprus, rejecting calls by Cypriot President Nicos Anastasiades who had asked for adjustments to be made to the rescue plan.

On her first visit to Brussels as Slovenian prime minister, Alenka Bratušek on Tuesday (9 April) sought to downplay reports that the eurozone country would be the next in line to seek a bailout. 

Cypriots were preparing to descend on banks, which reopen Thursday (28 March) with tight controls imposed on transactions to prevent a catastrophic bank run.

EU regulators will order shares of Spain's Bankia be valued at just €0.01 each, a European Commission source said on Tuesday (5 March), meaning shareholders including thousands of ordinary Spaniards will be hit hard in a debt-for-equity swap to boost the bank's finances.

Spain paid the second highest yield on short-term debt since the birth of the euro at an auction yesterday (24 July), prompting market watchers to warn that such levels aren't sustainable and that the EU’s fourth largest economy will need a bailout the eurozone can barely afford.

The Eurogroup today (20 July) announced it would grant a bailout of up to €100 billion to Spain to help the country recapitalise its banks, following a telephone conference call during which finance ministers gave their backing to the rescue plan.

A Commission spokesman welcomed yesterday (11 July) the new austerity measures announced by Spanish Prime Minister Mariano Rajoy, but social unrest appears to be a factor to watch in the EU’s fourth largest economy. EURACTIV Spain contributed to this article.

Cyprus President Demetris Christofias said today (5 July) that his country, which has just taken over the rotating EU presidency, would seek financial assistance from both the European Union and Russia. While EU conditions were harsh, Moscow’s help was “not forbidden by EU law” and has no strings attached, he said. EURACTIV.com reports from Nicosia.

Slovenia appears to be on its way to becoming the sixth eurozone country to request an EU bailout as it seeks to prop up its struggling banking sector, including the country’s largest bank that is partly owned by Belgium’s KBC.