Prague - Although the confidence in the Czech economy decreased in October, Czech banks remain trusted. The three largest banks - ČSOB, Česká spořitelna and Komerční banka - say that no large-scale cash withdrawals are taking place.
"We are witnessing no outflow of client assets," said KB spokeswoman Monika Klucová.
"There have been some minor fluctuations, but generally we can say that the sum of deposits has not changed in the last month," said Pavla Plachá, spokeswoman for ČS.
ČSOB has not registered any surge in cash withdrawals despite the fact that its owner, Belgian baking group KBC, recently asked the Belgian government for help. Subsequently, the Belgian government decided to give KBC a EUR 3.5 billion capital infusion to reassure the group's investors.
The Czech state currently guarantees 90 percent of individual savings in Czech banks up to EUR 25,000. The cabinet recently voted to increase the guarantee to cover 100 percent of savings up to EUR 50,000. The measure needs yet to be approved by the parliament.
