Eurozone Considers Blocking Italy’s Effort to Bail Out Top Bank

Headquarters of the Monte Dei Paschi di Siena bank, the world's oldest bank still operatin
AFP

BRUSSELS, Jan 12 (Reuters) – Euro zone finance ministers will discuss on Jan. 26 the “compatibility” of Italy’s bailout for bank Monte dei Paschi di Siena with European Union rules, an official in the bloc told Reuters on Thursday.

The comments cast doubt on the rescue plan for the ailing bank, Italy’s third largest lender. Rome decided in December to salvage Monte dei Paschi after a plan to raise capital in the markets failed.

The bank was the weakest among top euro zone banks in a stress test ran last year by the European Central Bank.

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