Greek Central Bank Warns Country “Unlikely To Survive Another Bout Of Instability” As Bank “Jog” Accelerates
by Tyler Durden
ZeroHedge.com
01/04/2016
Something unexpected happened on the road to the latest Greek “recovery”: the local population no longer believes one is coming.
As Greece remains crippled by unprecedented capital controls preventing full access of the local population to its savings as a result of last summer’s “referendum” and third bailout fiasco, and as Greek Prime Minister Alexis Tsipras braces for another round of tough negotiations with creditors, “savers are still reluctant to bet their money that this year’s talks will be less perilous for their country’s place in the euro area than 2015”, as Bloomberg puts it.
A less diplomatic way of saying it is that while the bank run has been forcibly stopped, the bank “jog” continues.
According to the latest Greece’s central bank data released this week, deposit outflows continued in November for a second consecutive month, even as the nation’s lenders plugged their capital shortfalls, and strict capital controls put in place last summer capped withdrawals and money transfers abroad.
Deposits held by households and businesses in Greek banks fell close to a 12-year-low of 120.9 billion euros ($131.3 billion) in November, bringing total losses to a record of more than 43 billion euros, or 26.4 percent of total savings, in the last 12 months.
The Rest…HERE
