OTP Bank Falls as Spain Debt Concern Hits Europe Banking Stocks

OTP Bank Nyrt. (OTP) , Hungary’s largest lender, slumped as European banking stocks retreated on concern the region’s debt crisis will spread.

The shares fell 0.5 percent to 3,880 forint by 12:18 p.m. in Budapest. The benchmark BUX stock index, in which OTP has a 28 percent weighting, declined 0.3 percent to 19,079.72.

Italian Prime Minister Mario Monti warned that Spain could reignite the European debt crisis as euro-area ministers this week prepare a deal to strengthen the region’s financial firewall. Hungary, the European Union’s most indebted eastern member, has failed for more than four months to start talks on aid from the EU and the International Monetary Fund.

To contact the reporter on this story: Andras Gergely in Budapest at agergely@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

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