Shareholders at Portuguese bank Banco Português de Investimento (BPI) approved the points on the general meeting agenda including access to state investment that the chairman described as “painful”.

Fernando Ulrich said the meeting held on Wednesday 27 June counted on just under 80% of the share capital but went smoothly and all nine points on the agenda were passed unanimously.

“Obviously, having to issue subordinated debt at costs as high as this is painful for the bank’s shareholders but these are the rules of the game and BPI has to comply”, he said.

The recapitalisation plan foresees the state injecting €1,500m.

The bank will then slowly pay off the loan in ten half-yearly payments.

“Every half year so long as the European Banking Authority (EBA) capital ratio is over 9.2%, the amount above that level will be used to reimburse the state”, he added.