On Thursday, the Dutch Ministry of Finance and central bank (De Nederlandsche Bank) announced various measures to “safeguard the stability of, and confidence in, the system,” including “both liquidity measures and capital reinforcement.” In addition to continuing weekly open-market operations, the central bank will “grant special credit to individual financial enterprises against adequate collateral, if and for as long as necessary.”

Following the U.K. lead, the Dutch government is making up to €20 billion of new capital “available to each financial enterprise in the Netherlands that is fundamentally sound and viable.” The government’s capital infusions “can take various forms, such as a participation via preferential shares, or otherwise if so required on account of the legal form, group structure or other considerations,” but “all these measures will be subject to conditions in order to limit market distortions and the financial risks for the government and to prevent misuse,” including “guarantees on returns, the financing of operational costs by the financial enterprises concerned, executive pay and representation in the executive bodies.”