European Banks destined for government ownership
The Great Unwinding is playing out as the European banks are now destined to look just like the British banks with extensive ownership by respective governments on the way, with commensurate reduction in innovation capacity.
How to recapitalise a continent’s banks
Analysts at JPMorgan have modelled for a “base-case” capital injection requirement across the European banking sector of about €150bn, rising to €230bn under more bearish economic stresses. Nomura puts the number at €200bn, Morgan Stanley’s estimate is up to €190bn.
