€23.5bn Bankia aid 'an investment', says bank president27/05/2012 - 16:09:21
The president of troubled Spanish lender Bankia has said the €23.5bn bailout it will receive from the state should be treated as an investment to make profit for the Spanish government, and not as a loan.
In a statement released today, Jose Ignacio Goirigolzarri appeared to be trying to reassure markets after the press questioned what he meant by comments the day before, when he stated that “we don’t need to talk about giving any of it back”.
He says Bankia’s responsibility is not to return that capital – Spain’s biggest ever bank bailout – but “to generate value and profitability for that contribution”.
Bankia is stuck with the €32bn in toxic assets on its books from loans in the property sector before the real estate bubble burst.