Carnegie Bank has announced that it has decided to contribute to the guarantee fund that the Danish government and the Danish banking sector's private contingency body, Det Private Beredskab, have established.

The guarantee fund will be in operations for two years and is a supplement to the government’s deposit insurance.

The fund will protect the deposits in Danish banks and is being funded by contributions from banks in Denmark.

As payment for the state guarantee Carnegie Bank will pay an estimated premium of DKK8 million over two years and may be obliged to pay an estimated further DKK10 million.