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Cross-border mergers right for larger European banks, ECB VP says

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Cross-border mergers right for larger European banks, ECB VP says

European Central Bank Vice President Luis de Guindos said big banks in Europe should merge with their counterparts in other countries and smaller players can cut costs by consolidating locally, Reuters reported.

He also favored the privatization of Spanish lender Bankia SA. The Spanish government has to sell its remaining 61% stake in the bank by 2021-end.