Czech Taxpayers Mustn't Save Europe's Banks, Lidove Says

The Czech government must make sure that a unified banking supervision within the European Union won’t allow transfer of local savings abroad, Premier Petr Necas wrote in an opinion column in the Lidove Noviny newspaper.

Czech taxpayers can’t be asked to save troubled banks in Europe, Necas said in the column published today.

The Czech Republic is trying to secure a guarantee that its domestic banking supervisor, the central bank, will have a decisive say if a foreign bank seeks to turn its operations into a branch from a subsidiary, which is subject to stricter local regulation, Necas told the newspaper.

To contact the reporter on this story: Peter Laca in Prague at placa@bloomberg.net

To contact the editor responsible for this story: Balazs Penz at bpenz@bloomberg.net

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