Bank of Portugal will have a month to submit plans to eliminate debt ECB

As one of the conditions of the loan the EU need to expedite the process of strengthening the banking sector of Portugal, who will have control over the ECB wrote in a Friday newspaper "RBC daily» referring to the Handelsblatt. In particular, the end of June financial institutions must submit specific plans for consolidation and elimination of its over-continuations. Some analysts fear the move could strengthen the economic recession in Portugal, which, in turn, negatively affect the banks. Analysts at Fitch warned that in the current year profits of local banks due to lower credit quality and reduce the number of new deals may fall. Last year, its losses in the domestic market, banks are partially offset by foreign businesses. Thus, the second largest institution of the country BPI about half of their income received from Angola, and the fourth largest bank Millennium BCP has helped his business in Poland, Angola and Mozambique. Entirely inappropriate for the Bank of Portugal and that the provision of EU financial aid due to the mandatory increase in the proportion of equity capital, said a Russian edition. After only in April, the Central Bank has ordered to raise this figure to 8%, now until the end of this year they will bring it to no less than 9%, and by the end of 2012 - even up to 10%. "In the long run it will eliminate one of the weaknesses in the financial system of Portugal, but right now it means for Portuguese banks only an additional headache" - according to analysts from Standard & Poor's (S & P). According to the estimates S & P, the need for fresh capital of private banks in Portugal, taking into account the need to raise the proportion of equity to 10% of 3.5 billion euros. It does not take into account nationalized in 2008, the bank Banco Portugues de Negocios (BPN) and while the state-owned Caixa Geral de Depositos (CGD). According to the list of terms under which the EU has provided assistance to the Portuguese, BPN has until the end of July to be sold into private hands. As for the CGD, which has to date share equity 8.8%, it is assumed, in particular, to sell its insurance division. In the S & P believed that, given the state-owned banks need the banking sector in additional capital of at least 5 billion on materials the Banki.ru