Cabinet changes procedure for state recapitalization of banks

Yesterday the Cabinet of Ministers of Ukraine altered the procedure for state-facilitated recapitalization of Ukrainian banks to allow for the banks to obtain financial support without ceding a controlling stake to the government (the state had required at least a 50% stake). The measure was approved in order to help more banks, unwilling to give up control, from going bankrupt. In addition to other financing, the new program will also draw on the USD 1.35 bln in total committed in the last two days by the European Bank for Reconstruction and Development (see our news yesterday) and World Bank (see our separate news story today).