French leading bank to repay governmental aid early

BNP Parisbas, France's leading bank announced Tuesday that it will reimburse bailout funds to the government months earlier than scheduled.

The banking group will launch a 4.3 billion euros (about 6.28 billion U.S. dollars) right issue from October to pay back a governmental aid of 5.1 billion euros underwritten on March 31 and will reward the state 226 million euros as interests calculated over seven months, the company said.

Improved marketing performance ameliorates the prospect and profits, Paribas said.

The previously estimated repay action will not be seen as early as 2010, according to local media.

Welcoming the reimbursement news, Paribas shares lead a rise of financials in Paris' CAC40 index, showing a gain of 2.35 percent to 57.9 euros at the closing. ( 1 U.S. dollar = 0.6847 euros)

Source:Xinhua