Seven banks in the Ukraine will be nationalized in the coming weeks, according to news reports. The move comes as the government attempts to shore up the shaky financial sector in the country and is part of a larger effort to restore the country’s economy to a sound footing.
“The government is taking a controlling stake in those commercial banks whose owners were not able to effectively manage them,” Yulia Tymoshenko, Ukraine`s prime minister, said on Friday. “”It would be difficult for us to stabilise the economy and financial situation in the country” without “bringing order to commercial banks which have destabilized the system and weakened trust in banks,” continued the Prime Minister.
Five of the banks are among the largest banks in the country in net assets. These five are Finance & Credit, Nadra, Rodovi, Ukrgrasbank and Ukrprombank, while the other two are Kiev Bank and Imexbank.
Useful Resources
