LISBON, July 18 A guarantee by Angolan
authorities for the troubled loan book of the local unit of
Portugal's Banco Espirito Santo (BES) eliminates a major factor
of uncertainty for BES, Bank of Portugal Governor Carlos Costa
said on Friday.
"The National Bank of Angola has managed to guarantee the
solvency of the institution and protected the interests of its
creditors. BES is one of the creditors and this is favourable to
eliminating one uncertainty, as we expect will be confirmed,"
Costa told a parliament committee.
Disclosures of financial irregularities at a web of holding
companies owned by the bank's founding family have raised
questions about potentially destabilising losses at BES.
Doubts about the Angolan buiness have also unnerved
investors after authorities in Angola had to guarantee 4.2
billion euros or nearly 70 percent of BES Angola's loan book.
(Reporting By Andrei Khalip, editing by William Hardy)