German Bill Permits Nationalizing Troubled Banks

from National Public Radio

The German cabinet has approved a bill that would permit the forced nationalization of troubled banks as a last resort. Officials have been considering several options to gain control over problem banks and prevent a financial crisis. One of those banks — Hypo Real Estate — already has received nearly $130 billion in loans and state guarantees. The bill moves to parliament, where lawmakers can still offer amendments.

Broadcast Dates

• Morning Edition, February 18, 2009