Aug
29
Russia Readies Emergency Loans to Contain Bank Otkritie Crisis
By-
Central bank funding to stop panic from spreading in industry
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Measure comes after regulator steps in to rescue Bank Otrkitie
Russia’s slow-motion banking crisis claimed its biggest victim yet, forcing the central bank to provide support for other lenders to prevent panic from spreading.
Bank Otkritie FC, a month removed from being Russia’s biggest private lender, was taken over by a government-backed fund set up by the central bank to consolidate the sector. The move will place at least 75 percent of the bank in state hands and could wipe out subordinated debt holders. The rescue prompted the central bank to provide funding to other banks to contain the crisis…
Russia Readies Emergency Loans to Contain Bank Otkritie Crisis
