ECB reports 1 billion euro reduction in Greek bank accounts deposits
According to the data published by the European Central Bank the deposits in Greek bank accounts was reduced by about 1 billion euros in September compared to deposits in August. In total, Greek banks hold an estimated 135.7 billion euros in their accounts.
The European Central Bank’s data demonstrates that since the end of 2008, Greek bank accounts have lost an estimated 75.3 billion euros. No other country has documented such a prolonged reduction of bank account deposits.
Banking executives warn that the deposits of households and businesses alike are expected to shrink so more by the end of the year, since the significant delays on behalf of the tax services has lead to an accumulation of taxes. The ECB executives explain that such “tax raids” negate any bank efforts to increase cash flow in the economy.