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Ukraine to nationalize its biggest lender, PrivatBank
Reuters ^ | 12-18-16 | Natalia Zinets and Pavel Polityuk

Posted on 12/18/2016 6:54:08 PM PST by dynachrome

The Ukrainian government announced on Sunday that it will nationalize PrivatBank, the country's biggest lender, in one of the biggest shake-ups of the banking system since the country plunged into political and economic turmoil two years ago.

In a statement late on Sunday, the government made no mention of the size of the potential burden to the state budget, but said it would ensure a stable transition and the smooth functioning of the bank.

The Finance Ministry will take over PrivatBank, which is part-owned by one of Ukraine's richest men, the powerful oligarch Ihor Kolomoisky. Finance Minister Oleksandr Danylyuk said depositors' money was safe and secured by the state, and that the bank was functioning normally.

"The private shareholders of PrivatBank proposed to the government that it become the bank's owner in the interests of its clients," the government said in a statement.

"The transition period begins on 19 December. The state will ensure a smooth transition and the stable functioning of the bank."

(Excerpt) Read more at reuters.com ...


TOPICS: Business/Economy; Foreign Affairs; News/Current Events; Russia
KEYWORDS: banks; nationalize; ukraine; ukrainecrisis
Nothing to see here, move along.
1 posted on 12/18/2016 6:54:08 PM PST by dynachrome
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To: dynachrome

Russia, I give you permission to take all of Ukraine now


2 posted on 12/18/2016 6:59:18 PM PST by ari-freedom (You can't be America First by putting G-d last)
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To: dynachrome

Nationalize....privatbank.... Will they at least change name?


3 posted on 12/18/2016 7:12:00 PM PST by Professional
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To: dynachrome

Hides the two-fisted stealing, socializes the losses.


4 posted on 12/18/2016 7:27:47 PM PST by mac_truck (aide toi et dieu t'aidera)
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To: dynachrome

Bail in comimg?


5 posted on 12/18/2016 7:36:33 PM PST by 2banana (My common ground with terrorists - they want to die for islam and we want to kill them)
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To: dynachrome
The story is this. THe bank is the largest in the country, and it was near collapse (just like the rest of the Ukrainian banking system and economy).

Rather than allow it to collapse the regime bails it out... the money is to be printed (150 billion hryvnia -- divide by about 25 to get the USD equivalent).

In other words, expect the currency to nosedive and given that nearly everything is imported, a drastic drop in living standards.

This may get quite entertaining soon.

6 posted on 12/18/2016 8:20:54 PM PST by mvonfr
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To: dynachrome
"The private shareholders of PrivatBank proposed to the government that it become the bank's owner in the interests of its clients," the government said in a statement.

Sounds like they are bankrupt and want the government to assume the debt to the customers.

7 posted on 12/18/2016 8:21:01 PM PST by Hugin (Conservatism without Nationalism is a fraud.)
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To: Hugin

I know the women are beautiful. Is the country corrupt like Mexico?


8 posted on 12/18/2016 8:26:22 PM PST by DIRTYSECRET (urope. Why do they put up with this.)
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To: DIRTYSECRET
I know the women are beautiful. Is the country corrupt like Mexico?

I just hosted a beautiful Ukranian model for five days (she left yesterday). I've shot with her twice before in the past couple years, but first time having her stay at my house while in town.

She tells me that things at home are really at their worst now... the current president is horrible. Last one was bad, but not this bad.

Last month they banned all Internet based payment systems (Paypal, etc.) making it hard because one must have their own business to survive. People who work for anyone else only make $100-$150/month.

The Ukraine government periodically will bomb (rockets) a city in the east so they can blame it on Russia and get automatic funding from the US. She's seen the rockets, and everyone there knows which direction they come from.

She expects a full out revolution any time now. She just bought 5 acres of beachfront land in Ecuador, and her 5 year plan is to build a resort and move her family there and be in the resort business.

9 posted on 12/18/2016 8:48:19 PM PST by Cementjungle
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To: DIRTYSECRET
I know the women are beautiful. Is the country corrupt like Mexico?

Nah, it's a fiscally responsible, totally non-corrupt country - just like all the other fragments of the former U.S.S.R.

Regards,

10 posted on 12/18/2016 10:01:34 PM PST by alexander_busek (Extraordinary claims require extraordinary evidence.)
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To: mac_truck

Exactly correct. The level of corruption in their banking system is staggering.


11 posted on 12/19/2016 12:59:23 AM PST by Jimmy Valentine (DemocRATS - when they speak, they lie; when they are silent, they are stealing the American Dream)
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