BoG Slams Reports of Deposit Outflow

Over the past few days there have been quite a few reports in the Greek press suggesting that there has been a significant deposit outflow, which is attributed to “political uncertainty” and which is being generated by the general elections on January 25th. Responding to the reports, the Bank of Greece issued a statement on Sunday underlining that the situation with bank deposits is completely “under control”.

At the same time the Bank of Greece dismissed reports suggesting that the date of the elections is a milestone for the provision of credit lines.

On the contrary, the Greek central bank noted that the European Central Bank’s policy since 2010 is to provide credit lines to countries within a program, which is unaffected by political developments.