ABN Amro gets €2.5bn state guarantee

State-owned financial services group ABN Amro is to get a second capital injection of €2.5bn from the government, finance minister Wouter Bos announced on Friday evening.

The deal includes a €800m convertible loan and a €1.7bn guarantee on a portfolio of Dutch mortgages.
ABN Amro’s state-appointed CEO, former financer minister Gerrit Zalm, said earlier this year that the bank would need more money from the treasury to ensure its stability.
Support fund
The money will come from the €20bn fund set aside last year to support financial service companies. ING, Aegon and SNS Reaal have all already had funding.
Bos said it is still ‘too early’ to say when and how ABN Amro will be privatised again but he confirmed a relisting on the stock exchange is an option.
The Financieele Dagblad reports that Bos has also asked parliament to approve a second capital injection this summer.

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