FRANKFURT—The
economics minister for the German state of Hesse has called on
local state-controlled lender Landesbank Hessen-Thueringen, or
Helaba, to boycott a pending round of Europe-wide bank stress
tests, a ministry spokeswoman said Monday.
The proposed
boycott underlines Germany's fears that silent participations,
or nonvoting share rights favored in particular by German banks
like Helaba to boost capital, won't be accepted as eligible Tier
1 capital under the new test rounds.
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