The finance ministry has sold a further batch of shares in ABN Amro, taking its stake down to 40.5% and raising €1.17 billion for the treasury.

The state has divested a further 78 million shares in ABN Amro and the government plans to use the money to reduce the budget deficit, finance minister Eelco Heinen said.

ABN Amro was nationalised during the 2008 financial crisis and the rescue deal cost the state nearly €27 billion in total. In 2015, the state sold a minority shareholding in the financial services group via an IPO. Since then it has sold off shares in several batches.

ABN Amro shares were up 3.2% in early trading on Thursday but at €15.70, are still well under the original flotation price of €17.75.

Heinen told MPs in a briefing the state will not recuperate its investment in rescuing the bank because that would require the entire remaining stake to be sold at a price of €31.49

“It is not realistic that such a price will be reached in the short term,” he said. “ABN Amro came into state ownership to ensure the stability of the financial system and not as an investment to make returns.”