JP Morgan: Greek Banks’ Deposits Outflow Reached 3 Bln Euros Last Week



BoG

The Greek banks’ deposits outflow during last week -and before Friday’s Eurogroup deal on the loan agreement four-month extension reached between the Eurozone’s Finance Ministers and their Greek counterpart Yanis Varoufakis- amounted to a total of 3 billion euros, according to estimates published by the American investment banking institution JP Morgan.

As the institution indicated, the Greek deposits outflow was increased by 50%, from 2 billion euros in the previous week, indicating that the country’s banks would be left without adequate reserves to issue new loans within just a period of eight weeks, instead of 14 as it was initially assessed. JP Morgan estimated that from a sum of 108 billion euros, the Greek banks received as aid from the European Central Bank (ECB) and the Bank of Greece (BoG), they have already used some 85 billion euros, thus they are left with about 23 billion.

As the institution explained, the Greek deposits outflow vastly increased toward the end of last week and, according to banking officials cited by Reuters, the outgoing deposits totaled 1 billion euros on Wednesday and Thursday and another 1 billion on Friday.

It should be noted that the total outflow of Greek deposits from the beginning of the year reached about 25 billion euros, or 3 billion euros per week.


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