March19,2019

Commerzbank, Germany’s only remaining big bank, and Deutsche Bank, the largest bank in Germany as well as the biggest economy of Europe, confirmed on March 17 that they were talking about a merger.

In the past ten years, the market capitalization of Deutsche Bank has declined more than 60 percent and nearly 600 billion euros of its assets were lost. On the other hand, shares of Commerzbank have also fallen 93 percent and lost almost all the value in the same period. Therefore, the International Monetary Fund (IMF) considered Deutsche Bank to be the world’s biggest potential risk to the financial system.

Though there were concerns about job losses and the marital deal was far from ensured, the German government seemed to try quickening the pace of their merger since the resolution might give them assets of around 1.9 trillion euros.