SocGen and BNP Paribas Deny Seeking $14.8 Billion In French Bank Recap

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Photo: Stephen Carlile on Flickr

French banks Societe Generale and BNP Paribas are denying a French report that they’ll seek a combined $14.8 billion from the French government as part of a bank recapitalization plan, according to Reuters.French newspaper Le Journal du Dimanche reported this morning that BNP Paribas agreed to $9.4 billion in capital injections while SocGen conceded to receiving $5.4 billion.

German daily Frankfurter Allgemeine Zeitung also published an article saying that France’s five largest banks would receive $13-20 billion in capital injections as long as Deutsche Bank would also accept aid from the government.

Spokesmen for both the banks denied the reports, alleging that the banks would meet the 9% tier 1 capital requirement stipulated by the Basel III agreements without government help and well ahead of schedule.

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