Greece’s European creditors have warned Athens that no funds would be released for the purpose of recapitalizing the Greek banking system if measures were not adopted to deal with the issue of the non-performing loans.
According to newspaper “Kathimerini”, the institutions issued a stark warning that the Greek government would have to take immediate initiatives to address the pending problem of the non-performing loans in the country’s banking system in order to receive a new series of funds from its EU partners to support Greek banks.
Sources in Brussels and Berlin sent a message to Athens that despite legislative moves by the Greek government, the issue has not be solved yet, with the effect that no bank resources flow into the real economy that is starved of cash.
According to the same sources, if a new round of recapitalization for Greek banks would be necessary, this would be achieved in accordance to the European directive – in effect since 1.1.2016 – , that is through a “bail in” with the participation of shareholders, bondholders and even uninsured deposits of over 100,000 euros.
I wouldn’t know that Greek banks would need another recapitalization….
PS Bail-in? Is Deutsche Bank listening?
Dear KTG, bail in is for the colonies, not for the 4th Reich metropolis. Yes, it is absolutely sure that the occupation forces will implement a “bail in” to accelerate the final collapse of Greece. This will come after all other looting procedures have been concluded; I would put it around 2018. The puppet government will go along, of course.