BRUSSELS (AP) — Shares in Franco–Belgian bank Dexia suffered a second straight day of hefty selling Tuesday as investors grew increasingly worried over its ability to survive in its current form despite government promises to prop up the bank and insure every cent of its deposits.

Dexia is at the forefront of investor concerns over its exposure to potentially bad debt from Europe's most indebted countries. With the markets bracing for a Greek debt default soon, investors are concerned about what bonds Europe's banks are holding and banks themselves have become reluctant to lend to one another.

On Tuesday, the Belgian government sought to reassure Dexia clients and creditors.

"The government will take its responsibility for the continuation of the bank," said Yves Leterme, Belgium's caretaker prime minister.

At opening of trading in Brussels, Dexia's share nosedived 37 percent to well under 1 euro ($1.32) — its lowest level ever. The loss was reversed a bit later as governments attempted to convince investors a strategy to save the bank was being worked out. However, Dexia's share price still stood at 14 percent by mid–afternoon.

Dexia stock began to plummet Monday after Moody's warned it could be downgraded, leading the board of directors to call an emergency meeting.

In response to the growing sense of crisis surrounding the bank, the governments of Belgium and France are trying to restore calm. Belgium's caretaker government planned to hold an urgent meeting on Dexia on Tuesday evening, local media reported. The finance ministers of both countries also pledged government guarantees so bank can gets its hands on funding.

Luxembourg's finance minister Luc Frieden said his government would play an active part in any restructuring of Dexia and that a solution would be found "soon." However, nothing was imminent Tuesday, Frieden added.

Luxembourg does not have a stake in Dexia, but the bank has extensive operations in the country.

Government attempts to shore up Dexia come after the bank's board said it would resolve its "structural problems," without giving details.

There has been speculation the bank will be split up with support from the French and Belgian governments — both of which have stakes in the bank following a 2008 bailout.

"We promised to all accountholders and savers that they would not lose a eurocent in the crisis. There is no reason for that. We are determined to help Dexia weather this crisis without causing anyone any loss," Leterme told the VRT broadcast network.

He said Belgian and French authorities were in discussions to see how they can "cooperate in solidarity as shareholders to lead Dexia through this tough time."

One way forward would be to isolate Dexia's toxic assets — totalling euro100 billion ($1.32 billion) — in a "bad bank." Its healthy parts, which are thought to include Dexia Asset Management and the Canadian RBC–Dexia BIL joint venture among others, would be sold individually this year, according to the dailies De Standaard and De Morgen. The proceeds would be used to prop up Dexia's toxic leftovers, including businesses in France, Italy and Spain, into a so–called "bad bank."

Dexia got a government and shareholder bailout in late 2008 when it ran into trouble with its U.S. bond insurance unit, FSA, during the U.S. subprime crisis, in which loans made to people with poor credit dropped sharply in value because of worries that borrowers would not be able to meet their repayments. Holders of bonds based on those mortgages suffered heavy losses.

As a result, Belgium, France and Luxembourg said they would inject almost euro6.4 billion to keep it afloat.

The bailout led to Dexia being owned 17.6 percent by France's sovereign wealth fund, the Caisse des Depots et Consignations. The French and Belgian governments each own another 5.7 percent of the bank, and three Belgian regional authorities jointly hold another 5.7 percent stake.

Since the bailout, Dexia has worked to shore up its finances, and the statement it issued Tuesday said it was making progress.

But Europe's worsening debt crisis and the resulting reluctance among banks to lend to one another have exacerbated Dexia's troubles. It has significant exposure to Greek and other risky debt.

Assurances from Belgian and French officials have done little to calm those fears.

Belgian Finance Minister Didier Reynders told reporters before a meeting of European Union finance ministers on Tuesday that both France and Belgium were ready to help.

"We have seen some possible action from the two governments, French and Belgian," he said. "We need to read all the proposals coming from the bank, and, if it's needed, we will act."

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DiLorenzo contributed from Luxembourg. Greg Keller in Paris and Robert Wielaard in Brussels contributed to this report.