Bloomberg News

Greeks Returned $2.5 Billion of Deposits, Stournaras Says

June 27, 2012

Deposits in Greece’s banking system increased by 2 billion euros ($2.5 billion) following the June 17 election that produced a coalition government committed to bailouts from the European Union and the International Monetary Fund, Finance Minister Yannis Stournaras said.

“The formation of the new government with the participation of three parties helped restore confidence,” Stournaras said in Athens yesterday, before his appointment as finance minister. “After the announcement of the coalition government, we had a 2 billion-euro inflow of deposits.”

Greek deposit outflows reached as much as 6 billion euros in May after anti-bailout parties made gains in an inconclusive first round of elections on May 6, Kathimerini newspaper reported on June 9, without saying how it got the information. Withdrawals continued in the first weeks of June, peaking at a daily rate of more than 700 million euros, said a banker who asked not to be identified because the information is private.

Prime Minister Antonis Samaras appointed Stournaras as finance minister yesterday to replace his original choice, Vassilios Rapanos, who resigned for health reasons four days after the coalition government was sworn in on June 21.

To contact the reporter on this story: Christos Ziotis in Athens at cziotis@bloomberg.net

To contact the editor responsible for this story: Maria Petrakis at mpetrakis@bloomberg.net


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