KL may revise merger plan

KL may revise merger plan

KUALA LUMPUR (AFP): Malaysia may revise its program of forced
bank mergers following difficulties in uniting banks and finance
companies into six large groups, Prime Minister Mahathir Mohamad
said Wednesday.

"The government is not going to force this down their
throats," he told a news conference on his return from visits to
the United States, Britain and Zimbabwe.

Mahathir had suggested earlier in London that the program,
which has drawn protests from banks and unions fearing mass
layoffs, could be revised.

The central bank announced on September 30 that all 58
domestic banking and finance institutions had signed in-principle
agreements on integrating under six core banks.

The signing is the first step in the central bank's
consolidation plan which is expected to be completed by March
2000.