German Finance Minister Sees No Further Sign of Bank Worries


German Finance Minister Peer Steinbrueck was quoted on Friday as saying there was no  vidence at present that the country's banking sector faced further problems from the credit crisis.

"From today's perspective we have in Germany no indication that we're going to see further shocks in the banking sector," Steinbrueck told the Rheinische Post daily in an interview. "The experts don't expect any spillover onto the real economy."

Germany has so far been the hardest hit in Europe by the problems that began with defaults on U.S. mortgages given to people with weak credit histories.

The crisis triggered by slowing home prices and higher interest rates has spilled into the credit markets.

Last month, German small business lender IKB lmost folded in the face of losses from parcels of U.S. home loans it had bought. Banks granted the IKB an 8 billion euros($10.8 billion) credit line to rescue it.

Earlier this month a group of banks gave a credit line of more than 17 billion euros ($23 billion) to help publicly-owned