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© PressTV
The French banking sector is reeling from fresh shocks after the New York Supreme Court announced it will uphold charges against Societe Generale.

British Bank Northern Rock says the French banking giant sold financial products with misleading advice before the subprime crisis started in the US. But Societe Generale says it is not responsible for products it was selling. Meanwhile, the 6.6 billion euro fine paid by another French bank BNP Paribas has led to France's national current account deficit to rise to 7.4 billion euros. That's almost double the deficit figures in May.

Local media reports show the bank's Chairman may resign in the coming months following the heaviest penalties ever paid by a French bank. These fines and court cases have made French banks watchful of where they put their feet. But seeing a total turn around within the banking sector in France may take months, if not weeks.

At a time when the French economy has officially come to a standstill, a weakened banking sector is one of the worst case scenarios of the country's economy.