BRUSSELS Nov 8 A Franco-Belgian plan to put
more capital into Dexia is intended to be the last for
the troubled lender, and while the cash injection should not
affect Belgium's deficit, it would add to the national debt, the
Belgian finance minister said.
Steven Vanackere said the capital injection would be
included in Belgium's national debt but not count towards the
country's budget deficit targets, though the European statistics
agency Eurostat would have the final say in this.
Vanackere said the recapitalisation should be the final one
for the financial group but that nobody could be certain that
this would be the case.
"Is it a total guarantee? People who give such a guarantee
are unwise," Vanackere said.
France and Belgium announced on Thursday they would pump 5.5
billion euros ($7 billion) into Dexia after it made another
large loss and extensive writedowns.
Belgium will inject 2.92 billion euros, or 53 percent of the
total, with France providing the remaining 2.59 billion, the
Belgian and French ministries said in statements.
(Reporting by Philip Blenkinsop and Robert-Jan Bartunek;
editing by Rex Merrifield)