The World’s Oldest Bank Lives to Lend Another Day

Banca Monte dei Paschi di Siena’s headquarters in Piazza Salimbeni, Siena, Italy Photograph by Alessia Pierdomenico/Bloomberg

The world’s oldest bank is extending its longevity by suspending payments on some of its debt—without triggering a default. Italy’s Banca Monte dei Paschi di Siena, which was founded in 1472, received a €4.1 billion ($5.5 billion) government bailout. European authorities ordered the bank, as a condition for the aid from taxpayers, to impose some pain on some of its bondholders by suspending payments to them.

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