A group representing leading Russian banks called for the Bank of Russia to sacrifice its ambitious plan to tame inflation in order to support flagging economic growth, The Wall Street Journal Emerging Europe blog reported. The Association of Regional Banks of Russia, a lobbying group that represents nearly half of all Russian banks, wrote in an open letter to the central bank’s governor Thursday saying that the bank’s attempt to bring inflation down to 5% next year is unlikely to succeed, and could impede growth that has already slowed to 1.5% in the first nine months of this year.

Indebted Spanish printing company Service Point Solutions SA has applied for creditor protection, it said on Thursday, after talks with its lenders failed, Reuters reported. The company said earlier on Thursday it was talking to creditors after banks rejected its proposals to buy back debt and that it had not ruled out applying for protection from creditors.

Siena, the medieval city renowned for its Palio horse races, is home to the world’s oldest bank. Within its aging walls lies a distinctly 21st century tale of devastation wrought by local politicians and global financiers, Bloomberg reported. Banca Monte dei Paschi di Siena SpA, Italy’s third-largest lender, is struggling to survive as it seeks to repay a second bailout or face nationalization. Its downfall proved a boon to global investment banks. They offered merger and investment advice to executives beholden to politicians that helped wipe out 93 percent of Monte Paschi’s value.

Home sellers in London raised asking prices 10% in the early weeks of October, as foreign buyers continued stoking the market, adding to concern a fresh property bubble may be forming, The Wall Street Journal reported. The capital's steep price increases have also fueled concern among policy makers that many residents may be forced out of the market.

Britain may avert the closure of the Grangemouth refinery and petrochemical plant after union leaders said on Thursday they had accepted demands from the management in an effort to save 1,400 jobs. Scottish government officials met union leaders and management at Grangemouth on Thursday in hopes of persuading the operator, Swiss-based chemicals group Ineos, to re-open the plant, the largest industrial site in Scotland and its only refinery.

Hedge funds are circling Spanish banks, hoping to mop up bad corporate debt cheaply when the lenders finally face up to billions of euros in losses on loans to firms in trouble, Reuters reported. Spanish companies are among the most indebted in Europe, and investors say that only when this burden has eased will equity buyouts recover following the country's long recession. While Spanish banks have already been forced to grasp the nettle on property loans, they still need to tackle their distressed corporate lending.

A refrigeration installation and servicing company with the UK's leading supermarkets among its clients has gone into administration with the likelihood of imminent closure, putting more than 600 jobs at risk, The Guardian reported. WR Refrigeration, which employs more than 600 staff across the UK, suffered heavy financial losses and cash flow problems after difficult trading conditions, leading to HMRC issuing a winding-up petition this month which triggered a search for extra funding.

Scotland's economy suffered a blow on Wednesday when the owner of the Grangemouth site shut the petrochemical plant and threatened to close the adjoining refinery, putting 1,400 jobs at risk. Swiss owner Ineos halted production last week at the 210,000-barrels-per-day refinery, which provides most of Scotland's fuel, due to a labour dispute with Britain's largest union, Unite. Ineos says the site makes a loss. The decision to close the petrochemical plant comes despite the protestations of Prime Minister David Cameron, who had called on all sides to continue talks.

Mario Draghi warned on Wednesday night that some European banks needed to fail a series of European Central Bank health checks to prove the credibility of its year-long review of the region’s biggest banks, the Financial Times reported. The blunt comments by the ECB president raised pressure on EU leaders to earmark public money that could in extreme cases be used to recapitalise struggling lenders.

European bankers could be paid bonuses of up to 250 percent of their fixed pay under a slight relaxation of tough new pay rules due to come in next year, as long as much of the sum is deferred for at least five years, Reuters reported. The European Banking Authority issued a consultation document on Wednesday detailing aspects of a "discount rate" that banks can apply under the European Union's new bonus rules. The EU plans to cap bonuses of senior staff to 100 percent of their fixed pay, or 200 percent if shareholders approve a higher payout.