Euro area bank rescue fund rises to $37B

ISTANBUL

Euro area's rescue fund for failed banks, the Single Resolution Fund (SRF), expanded to €33 billion ($37 billion), the central resolution authority within the Banking Union announced on Wednesday.

"SRF received a cash injection of €7.8 billion ($8.75 billion) from 3,186 institutions for the year 2019," the Single Resolution Board (SRB) said in a written statement.

It also said the fund is targeted to reach a minimum 1% of covered deposits by the end of 2023.

Elke Konig, the chair of the SRB, said: "The Fund is steadily being built-up and we are about half way there."

"Financed by banks and credit institutions, the Fund is designed to reduce costs for taxpayers when banks fail by having a pot of money available," according to the statement.