In Germany, credit institutions are well capitalised, the IMF can rest assured. This is what Michael Kemmer, director of the association of German banks BdB, claims in an interview with the newspaper Die Welt. Kemmer thus responds to the fears of the International Monetary Fund on the possible lack of funds in the institutes headed to Frankfurt. The association of German public banks Voeb, which does not deem any recapitalization necessary, is on the same line.
In reality last Saturday Christine Lagarde, director of the IMF, had supported the need for a recapitalization in general for European banks, with the aim of avoiding a new recession. Kemmer added that he opposed the European Banking Authority's (EBA) plan to give new powers to the European rescue fund EFSF. This is also the position from the German supervisory authority Bafin.
