Greek Alpha Bank chief says to join rescue plan-paper

ATHENS, Nov 16 (Reuters) - Greece's Alpha Bank (ACBr.AT) will participate in a government 28 billion euro ($35.52 billion) support plan to ensure funding for the slowing economy, its chief executive said in a newspaper interview published on Sunday.

"Alpha Bank will participate in the plan, and will utilise all measures provided by the Greek state, we believe this is a good plan, its good for the economy and for banks," CEO Yannis Costopoulos said in an interview with Kathimerini newspaper.

The country's third-largest lender is the first major bank to commit taking part in the plan, which the government says is aimed at ensuring credit flows smoothly to the slowing 246 billion euro economy.

"We take this initiative to be the first to join. That way we absolve all the other banks from any hesitation in joining the plan to boost liquidity in the economy," he said.

The package offers liquidity, guarantees on debt issuance by banks as well as capital injections in return for allowing the government a voice on bank boards.

"No bank has a problem in the strict sense of the word. The problem is with liquidity, which we hope can be solved with this plan," he said. "(Banks) would have less capital compared to European peers because they have taken up state support."

Greek lenders have little exposure to toxic assets and have not suffered large writedowns like some of their European peers. Their reticence to take part in the plan prompted the government earlier this month to say it had ways to make banks comply.

So far, state-controlled banks ATEbank (AGBr.AT), Hellenic Post Bank (GPSr.AT) and small lender Proton Bank (PRBr.AT) have said they will participate. (Reporting by George Hatzidakis; Editing by Hans Peters)