Frankfurt (Reuters) – Greece should clarify the involvement of owners and creditors on a possible modification of the local banking sector quickly the Bundesbank’s view
“From my perspective, this instrument should be in Greece as soon as possible available and not only from the mandatory date of 1 January 2016″, Bundesbank board member Andreas Dombret said on Wednesday, according to the transcript in Munich. The institutions are now closed for two weeks, so you should have doubts about their solvency. They should remain sealed until and including 16 of July. “The precise question is: Are all four major Greek banks long term viable?” The structure must be verified.
It was agreed that the government in Athens (BRRD) transposes the European Directive settlement by July 22 into national law, added the Bundesbank board. “In order for the necessary instruments would be created in order to handle ordered banks can.” This also included the instrument of a so-called bail-in’s, so the participation of owners and creditors.
In addition, must be clarified whether the banking sector could be rebuilt without restricting competition. “It should be quickly found an answer,” said Dombret. The time was short for the Greek Institute. Dombret is responsible on the management committee of the Bundesbank, among others, for the banking and financial supervision.
According to earlier information from insiders threatens more money houses in the country even after the preliminary agreement in the debt dispute the closure. According to a person familiar with the thinking person could by the four major banks – National Bank of Greece, Euro Bank, Alpha Bank and Piraeus – may remain only two left. However, a restructuring of the banking sector would probably encounter strong opposition to the government. Because in addition to cost savings and a reduction of jobs is therefore likely to have.
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