Contract on loan to Resolution Fund concluded with banks

28th August, 2014

A loan agreement was concluded today between the Resolution Fund and the following banks: Banco BIC, Banco BPI, Banco Comercial Português, Banco Popular Portugal, Banco Santander Totta, Caixa Central de Crédito Agrícola Mútuo, Caixa Económica Montepio Geral and Caixa Geral de Depósitos.

The 700 million euro loan will be used to pay the state back the advance of 635 million euros it made on behalf of the banks to pay up the share capital of Novo Banco, S.A. and to cover future interest payments owed to the state by the Resolution Fund pursuant to the state loan agreement. The structure of the banks' loan agreement is the same as the state's, with the appropriate adaptations.

Associação Portuguesa de Bancos