Bank of France’s Villeroy Backs End to ECB Dividend Restrictions

Bank of France Governor Francois Villeroy de Galhau said he supports the lifting of restrictions on European bank dividend payments, in order to ensure a level playing field with competitors in other markets.

A formal move to lift the current restrictions is necessary to keep European banks attractive to investors, as exceptional measures on payouts in the U.K. are less stringent, and could be lifted as early as end June in the U.S., Villeroy, who also sits on the European Central Bank’s Governing Council, said at a conference on Friday. A decision is expected to be made by the end of July, he said.