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Italy might have to bail out banks, ECB's Nowotny says

Published 05/12/2016, 10:32
Updated 05/12/2016, 10:40
© Reuters.  Italy might have to bail out banks, ECB's Nowotny says

VIENNA (Reuters) - Italy might have to spend public money to rescue some of its banks, including by taking stakes in them, European Central Bank Governing Council member Ewald Nowotny said on Monday.

"The difference between Italy and other states such as Germany and Austria is that, until now, in Italy there has not been any significant state aid or state takeovers (of banks)," Nowotny, who heads Austria's central bank, told reporters.

"It therefore cannot be ruled out that it will be necessary for the state to take stakes (in banks) in some way," he added.

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