Following a record loss posted by Spanish troubled bank Bankia on Friday, Spanish finance minister Luis de Guindos told Spanish radio station Onda Cero that that the country's Fund for Orderly Bank Restructuring (FROB) will announce a capital injection for Bankia on Monday.

Bankia posted an attributed net loss of €4.448bn for the first half-year, noting that it took a provision of €7.51bn.

Commission-based revenue fell 8.4% to €524m in the period while the bad loans rate rose from 7.6% to 11.0%. The coverate ratio rose to 66.3% from 60.2% at the close of 2011.

"The FROB's committee is expected to approve this afternoon the capital injection of 4-5 billion euros to Bankia, which could receive the money by September 14", a source told Reuters.

MD

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