Austrian Times RSS FeedsLike the Austrian Times Facebook page!Follow us on Twitter!

Events for April
31 1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 1 2 3 4
Add your event FREE



Pub Quiz everyTuesday at Johnny's Pub

Popular in Austria



Hypo insolvency no longer ruled out says Spindelegger

Hypo insolvency no longer ruled out says Spindelegger

Insolvency for failing bank Hypo Alpe Adria is back under discussion by the Austrian government after Finance Minister Michael Spindelegger announced it is no longer ruled out.

Spindelegger had said a few weeks ago that the bank would not be allowed to go bust as it was deemed to be too much a risk for the financial security of the country.

He has gone back on his position following recent criticism from leading Austrian economists about ruling out all possible options for the bank. They argued that insolvency at Hypo could be managed to prevent it snowballing out of control.

The government's preferred approach would be to set up a 'bad bank' with the support of Austria's healthy banks who could absorb some of Hypo's 13 billion Euros of toxic assets and keep them off state debt. This idea has had a lukewarm reception from such as Bank Austria and Erste Bank who say they are already struggling following recent hikes in bank levies.

"If no solution is found with the banks, nothing is ruled out. For me, it's about finding the most favourable solution for taxpayers," Spindelegger said. "There are no taboos here."

A insolvency solution for Hypo might include the government providing state aid to Carinthia, who owe around 12 billion Euros in guarantees to Hypo. The government has been warned by Hypo that insolvency could cost as much as 25 billion Euros in total.

A government task force responsible for recommending the government's best course of action concerning Hypo is expected to make an announcement this month.

Austrian Times

Are you on Facebook? Like the Austrian Times on Facebook and win great prizes!

Your comment to this article :

(will be approved by an editor before going online)

  • Not for publication:
  • How many vertical lines or which Text (from left to right) do you see in this image:

Tag cloud:
failing  bank  insolvency  solution  Erste  Bank  recommending  levies  favourable  reception  Austrian  struggling  taboos  billion  Spindelegger  Euros  government  Hypo  taxpayers  finding

Latest News


Pressure Group To Tackle Victims Of Austrian Officialdom
A group of businessmen fed up at the way companies are being squeezed not only by red tape but also by ever newer taxes have taken to the Internet to try and build up pressure for change.

First Hotel in Millstatt Celebrates 130th Anniversary on Summer 2014
Luxury hotel See-Villa in Millstatt, Carinthia opens its doors anew to welcome the 2014 summer season and celebrates its 130th founding anniversary in Austria's summer capital.

Austrian Teen Girls Become Pin Ups For Syrian Jihad
Interpol is searching for two Austrian teenage girls who they believe have been tricked into going to Syria to fight on the side of Islamic rebels.

As seen at Haydn Kino: The Amazing Spider-Man 2
Film review by Kostyantyn Steblovskyy

Schools Ordered To Save, But Also To Buy Expensive Scales
Austria's embattled finance ministry has been dragged into a new scandal after it emerged that at the same time as demanding schools save 57 Millionen Euros, they were also expected to find an additional 3 million to buy an approved set of weighing scales.

OAP Hunts Down THIS Hit And Run Cyclist
Does anyone recognise this cyclist? If so you can get yourself 200 euros, and do a good deed in the process.

Property price rise continues
The price of property in Vienna has now spiralled so much that every 4th apartment comes with a price tag of 500,000 or more. And every second flat costs 300,000 or more.

Free Staff For One Person Companies - But Only In NÍ
Since the beginning of the year one-man-companies, the so called "Ein-Personen-Unternehmen" in Lower Austria have been entitled to help in the form of a free assistant.

What is on at Burg Kino this week? (18 April - 24 April)

This week at the Burg Kino on the Opernring the following films are showing:

Austria Accused Of Ignoring Giant Nazi Swastika
A huge swastika that has scarred the walls of an Austrian castle for the past 80 years is still on view despite breaching strict postwar rules banning all Nazi symbols.


Mala Vrata

The most popular stories –
last 7 days

Don't moan alone, the Ombudsman Investigates.

Why suffer in silence. Let off steam by letting our readers share your troubles. File your complaints about anything and everything here.

Our ombudsman David Rogers will try and help solve some of the problems from lazy civil servants through to incompetent companies – and at the very least the worst transgressors will end up in our weekly special report.

Austrian Zimmers