Bundesbank Plans Deposit Haircuts For Bank Customers
by homment | 07.04.2013 | Views: 365
In an interview today, which is to be broadcast at 11 CET on Deutschlandradio, Germany's biggest radiostation, the President of the Bundesbank will announce plans for deposit haircuts for bank customers in case a financiel institution goes bankrupt. He proposes a bail in solution for all Euro-Zone banks in order not to let the taxpayer pay the bill. He said: first and foremost the equity holders and the bondholders have to pay and at the end also the bank customer with his deposits. This in his eyes is a better solution than letting the taxpayer and governments paying the bill.