EU okays Slovak bank capital injections, guarantees

BRUSSELS Dec 8 (Reuters) - Slovakia received European Union regulatory approval on Tuesday for its plan to provide capital injections and guarantees to financial institutions hurt by the credit crisis.

Governments in the 27-country EU have rushed to prop up banks as the financial crisis deepened following the collapse of Lehman Brothers in September last year, saying they posed a systemic risk.

"The Slovak bank support scheme should contribute to limiting the adverse impact of the current crisis on the banking system and on the real economy in Slovakia," European Competition Commissioner Neelie Kroes said in a statement. Slovakia pledged to implement the scheme for a maximum of six months and will report to the EU's executive European Commission every six months on its implementation.

The Commission has approved similar plans by other EU countries. (Reporting by Foo Yun Chee, editing by Dale Hudson)