Basler Kantonalbank (BKB) has announced an increase in its annual payment for the state guarantee to CHF 15.2 million from 2025 to 2028.

This adjustment is in response to a decision made by the Government Council of the Canton of Basel-Stadt regarding compensation for the state's liability concerning the bank's debts. The purpose of this compensation is twofold: to mitigate the risk of potential bankruptcy for the bank, where the canton would be responsible for outstanding debts, and to prevent competitive distortions by considering the bank's cost advantages.

This financial arrangement highlights the ongoing relationship between the bank and the canton, emphasizing the importance of state guarantees in the banking sector.