(AOF) – The banking sector in Europe is widening its losses in the wake of Credit Suisse, which fell 15.6% to 1.89 Swiss francs and posted a new historic low. The Saudi National Bank, which owns 9.8% of the capital of the Swiss bank, does not plan to commit more money to support it, according to Bloomberg. “The answer is absolutely negative,” Ammar A. Al-Khudairy, the Saudi bank’s chairman, told the media.
“For many reasons apart from the simplest reason, which is regulatory and statutory. We now own 9.8% of the bank and if we go above 10% all sorts of new rules apply “.
“I don’t think they need any extra money; if you look at their ratios, they’re good. And they operate under a strong regulatory regime in Switzerland and other countries,” he said. he also told Reuters.
In Paris, Societe Generale loses 10% to 22.03 euros, BNP Paribas, 9.55% to 52.35 euros and Crédit Agricole 5.23% to 10.22 euros.
In its annual report published yesterday, Credit Suisse warned that it had discovered “significant weaknesses” in its internal controls. “Group management has concluded that as of December 31, 2022, the group’s internal control over financial reporting was not effective,” the document reads. “It failed to design and maintain an effective risk assessment process to identify and analyze the risk of material misstatements in its financial statements.”
“Separately (and more substantially), the bank notes that outflows have stabilized, but not reversed,” Berenberg reports.