The Impact of Credit Suisse on Greek Banks

The “tsunami” that began in the United States with the collapse of the Silicon Valley bank has reached Europe with its thrillers Swiss creditNow all eyes are on international banking developments.

For Greece Governor of the Bank of Greece Giannis Stournarnasbut also government financial staff They stress in every tone that Greek banks are protected but they also have no exposure to Credit Suisse’s bad bonds, so there is no immediate concern.

However, developments in the financial market over the past few days do not mean that they will not have consequences for the Greek economy.

Speaking to Vima tis Kyriaki, the Governor of the Bank of Greece, Yiannis Stournaras, confirmed:

“The Greek sector is not affected at all by recent developments in the US financial system, while the exposure of European banks is very limited. The banks that collapsed in the US are Special cases do not exist in Europe. The European stress tests would have immediately identified the problems that were revealed and would not have allowed us to get to this point.

Mr. Stournaras also stated, among other things, that “in Europe, the supervisory standards for regulated and informal banks are not fundamentally different, and this does not seem to be the case in the USA.”

The Greek Finance Minister said a few days ago: “It is clear that the Greek banking system today is in a better position than it was four years ago, in order to absorb any shocks from the international markets.” Christos Staikouras.

In simple words, according to “Naftemporiki”, the impact of what is happening internationally may not be exhausted and may not affect deposits, but it may affect the financing of the national economy and development. In other words, in addition to deposit guarantees, banks also need other tools.

the Greek deposits are not in dangerat least 70%, by law, All deposits are up to 100,000 Euros It is guaranteed to every depositor of every credit institution.

Regarding “red loans”Today, these prices are down, but inflation and interest rate increases are “waiting.” The four systemic banks expect new non-performing loans worth 1.4 billion euros this year. Interest is mainly concentrated on mortgages, as they are the most “sensitive” to an increase in interest rates.