Greek bank deposits hit decade low

485f7157a2a06ef5e7a18172ef3bcd9f-800xGreek banks saw a further €5.6 billion reduction in deposits, as panicked savers fear default or capital controls. (Photo: Queenofhearts820)

By BENJAMIN FOX

BRUSSELS, 30. MAY, 11:49
Deposits held by Greek banks have fallen to their lowest level in a decade, according to statistics released on Friday by the European Central Bank.
Total deposits from households and businesses in April stood at €139.4 billion, a €5.6 billion decline – equivalent to 3.9 percent – from March, the ECB reported. Deposits fell by €27 billion over the first four months of 2015, a rate of around €1.5 billion each week.

Capital flight from Greek banks has been going on steadily since Greece’s first bailout package was agreed in 2010. At that time, banks held deposits totalling €220 billion. 
The decision by panicked savers to withdraw their money from Greek lenders is the result of the difficult talks – now in the fifth month – between Greece’s left-wing government and its EU and IMF creditors on the remaining €7.2 billion of Greece’s bailout package.

Read Entire Story in EU Observer

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