France plans to take over 36 French-owned banks

France's Socialist government decided Wednesday to nationalize 36 French-owned banks, effectively putting 95 percent of all deposits under state control. The government, at a Cabinet meeting chaired by President Francois Mitterand, gave the first clear details of the government's intentions toward the private banks since Mr. Mitterland was elected May 10 and his Socialist Party won control of the National Assembly in June.

Specific terms of the measures were not complete, but officials said stockholders would get bonds as "fair compensation" for their holdings.

of 5 stories this month > Get unlimited stories
You've read 5 of 5 free stories

Only $1 for your first month.

Get unlimited Monitor journalism.