Lithuania's Finasta bank was on brink of bankruptcy

Finasta's equity capital in late 2011 amounted to 5.3 million litas (EUR 1.54 m), well below the required minimum level of 17 million litas, according to the report.

It has also turned out that the bank at the time was not meeting four other requirements related to foreign currency holding or loans per debtor.

"Judging solely by statistics, it is obvious that Finasta was close to the brink of collapse after Snoras' bankruptcy. However, the state's indirect injection of 13.8 million litas in Finasta at the start of this year prevented this from happening. Following the injection of funds, the capital adequacy ratio increased to more than 13 percent," an analyst from a rival bank, who asked not to be named, said.

The central Bank of Lithuania says that a lower-than-required capital would give cause for worry if the bank failed to take steps to bring it back to the required level. It is also said that a credit institution could be declared insolvent if it failed to meet the 8 percent capital adequacy requirement for six months.