Another 2.5 billion in state aid for ABN Amro

27th June 2009, Comments 0 comments

Dutch Finance Minister Wouter Bos has earmarked another EUR 2.5 billion to help ABN Amro and Fortis Netherlands to regain their independence. The two banks are now completely owned by the state.

The Netherlands -- Speaking after Friday's weekly cabinet meeting, Bos said the governments wants to separate, as soon as possible, ABN Amro's Dutch parts from those acquired by Royal Bank of Scotland and Banco Santander in order to prevent potential problems at the latter two entities from spilling over to the former.

The finance minister was at pains to stress that the aid differs from previous capital injections in that the funds are a legal requirement for the banks to become private entities once again.

Bos also emphasised that the state aims to eventually recover the funds now invested. He does not expect the banks to be privatised before 2012. He also warned that the two banks are likely to need further aid.

Radio Netherlands / Expatica

0 Comments To This Article