European Banks Growing Bigger. ~wild capitalism failing. Euro governments provided $5.3 trillion of aid to banks in 08 and 09. 15 European banks now have assets larger than their home economies. Royal Bank of Scotland Group Plc?s assets ballooned 2,914 % in the 10 years through 08 as it made acquisitions, boosted trading and increased lending. Edinburgh- based RBS spent $140 billion on takeovers during the period. that triggered the world?s biggest bank bailout- 45.5 billion-pound rescue of RBS.
Paris-based BNP Paribas, the world?s biggest bank by assets, increased its balance sheet by 59 percent to 2.29 trillion euros ($3.5 trillion)London-based Barclays jumped 55 percent to 1.55 trillion pounds ($2.6 trillion), or 108 percent of U.K. GDP. Santander?s rose 30 percent to 1.08 trillion euros, about the size of Spain?s GDP.Britain, with an economy one-fifth the size of the U.S.?s, faces widening budget deficits, rising unemployment and increased taxes after four bank bailouts, including the 45.5 billion-pound
