4 Feb 2016 09:29

Bill on bail-in mechanism for banks might be drafted in mid-2017

MOSCOW. Feb 4 (Interfax) - A bill on a bail-in mechanism - the forced conversion of creditors' claims into subordinated loans or equity in order to cover holes in a bank's capital - might be prepared in the middle of next year at the earliest," Deputy Finance Minister Alexei Moiseyev said.

"So far we're only talking about a concept, which we literally yesterday sent out for consideration by government agencies. I think that we will work with this concept for about six months, then we'll write the law. The law itself, of course, will be very complex and difficult. [...] I think that realistically we're talking about the middle of 2017 at the earliest," Moiseyev said on TV channel Rossiya 24.