The president of the board of the Hellenic Banks Federation – the group that represents systemic banks in the country – again went on record this week to preclude the possibility of a “haircut” on bank deposits in the country.
The president of the board of the Hellenic Banks Federation – the group that represents systemic banks in the country – again went on record this week to preclude the possibility of a “haircut” on bank deposits in the country.
Louka Katseli, who is the president of National Bank, the country’s largest credit institution, also dismissed the possibility of another recapitalization of recession- and PSI-battered Greek banks. Capital controls are still in effect on Greek bank accounts as well, allowing for the withdrawal of 420 euros per week in cash.
In an interview published on Sunday by “Kathimerini”, the former long-time socialist PASOK minister also noted that the effective management of non-performing loans in the country is a priority, without being more specific.
Institutional creditors want a liberalization of the Greek framework for managing NPLs, allowing the sale and resale of “bad loans” to funds outside Greece. NPLs, by some accounts, total 80 billion euros in Greece.