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Thursday, Apr 18
Can the Greek banking sector deteriorate further? Yes, says Moody's in a new report: declining...
Can the Greek banking sector deteriorate further? Yes, says Moody's in a new report: declining domestic purchasing power and liquidity" will be exacerbated by government spending cuts and rising joblessness, crippling consumer's "repayment capacity" and ultimately leading to non-performing loans above 30%. Furthermore, Moody's warns risky Greek government bonds comprise 87% of the sector's Tier 1 capital and "estimates €8B of further capital" will be needed to cover loan book loses.