Three banks belonging to the Greek buyout firm Marfin Investment Group said they will not participate in the government's bail out.

Three banks belonging to the Greek buyout firm Marfin Investment Group said they will not participate in the government's 28 billion euro ($37.09 billion) bank rescue plan.The three are the first Greek banks to respond officially to the conservative government's plan, worth up to 11.4 percent of its GDP, to help lenders ride out the global financial crisis, although Greek banks had little exposure to toxic assets."Marfin Popular Bank (MRBr.AT: Quote, Profile, Research, Stock Buzz), Marfin Egnatia Bank EGMr.AT and Investment Bank of Greece do not need and do not intend to use any state aid of any nature whatsoever," they said in a statement.Banking sources said on Tuesday many Greek banks would not participate in the plan until they see the exact terms, although they welcomed it as a future safeguard.A senior finance ministry official said the draft bill with all details would be submitted to parliament by the end of the week. The plan enables the state to guarantee capital market loans and buy preferred shares in banks, while it sets a ceiling on banking executives' salaries, the ministry has said."There is a willingness from all banks to participate in this plan," said the official, who requested anonymity. "Our aim is to facilitate the economy in the future."
In other countries, banks participating in similar plans have had to give up their independence and limit executive salaries.

Posted in: Bank of Greece