Dutch Central Bank Seeks Buffer Between State And Nationalized Bks
March 26 2009 - 9:17AM
Dow Jones News
The Dutch government should create a 'buffer agency' between the
state and Dutch financial institutions that are nationalized or
receive state aid, the president of the Dutch central bank, Nout
Wellink, said Thursday.
At a press conference, Wellink said such an agency would prevent
the state from meddling in the daily operations of these companies,
in a reference to the political row that arose from the welcome
bonus ING's (INGA.AE) new Chief Financial Officer Patrick Flynn
received.
The president said this kind of political interference is
undesirable, as it could hurt the competitiveness of these
companies.
Wellink said the agency should be based on U.K. Financial
Investments, or UKFI, the British state-owned agency that holds and
controls the shares of several nationalized and state-supported
banks in the U.K.
The Dutch government currently owns 100% of Fortis Bank
Netherlands and the Dutch units of ABN Amro. Insurer Aegon (AEG)
and bancassurers ING (INGA.AE) and SNS Reaal (SR.AE) received state
aid.
-By Ykje Vriesinga & Maarten van Tartwijk; Dow Jones
Newswires; +31-20-5715201; ykje.vriesinga@dowjones.com