{"id":9694,"date":"2015-07-04T07:47:35","date_gmt":"2015-07-04T12:47:35","guid":{"rendered":"http:\/\/olduvai.ca\/?p=9694"},"modified":"2015-07-04T07:47:35","modified_gmt":"2015-07-04T12:47:35","slug":"greek-banks-considering-30-haircut-on-deposits-over-e8000-ft","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=9694","title":{"rendered":"Greek Banks Considering 30% Haircut On Deposits Over \u20ac8,000: FT"},"content":{"rendered":"

Greek Banks Considering 30% Haircut On Deposits Over \u20ac8,000: FT<\/a><\/h3>\n

Last week in\u00a0“For Greeks, The Nightmare Is Just Beginning: Here Come The Depositor Haircuts<\/a>,” we warned that a Cyprus-style bail-in of Greek depositors may be imminent given the acute cash crunch that has brought the Greek banking sector to its knees and forced the Greek government to implement capital controls in a futile attempt to stem the flow.<\/p>\n

The depositor “haircut” would be a function of the staggered ELA haircut that the ECB could impose to escalate the rhetoric between the two sides, and could take place with as little as a 10% increase in the ELA collateral haircut from its current 50% level.<\/p>\n

\"\"<\/a><\/p>\n

Unfortunately for Greeks, the ECB has frozen the ELA cap, meaning that as of last Sunday, Greek banks were no longer able to meet deposit outflows by tapping emergency liquidity from the Bank of Greece.<\/p>\n

Now, with ATM liquidity expected to run out by Monday and with the country’s future in the Eurozone still undecided, it appears as though Alexis Tsipras’\u00a0promise<\/a>\u00a0that “deposits are safe” may be proven wrong.<\/p>\n

According to FT,\u00a0Greek banks are considering<\/a>\u00a0a depositor bail-in that could see deposits above \u20ac8,000 haircut by “at least” 30%.\u00a0<\/strong><\/p>\n

Via FT:<\/p>\n

\n
Greek banks are preparing contingency plans for a possible \u201cbail-in\u201d of depositors amid fears<\/em><\/div>\n

The plans, which call for a \u201chaircut\u201d of at least 30 per cent on deposits above \u20ac8,000, sketch out an increasingly likely scenario for at least one bank, the sources said.<\/em><\/strong><\/p>\n

A Greek bail-in could resemble the rescue plan agreed by Cyprus in 2013, when customers\u2019 funds were seized to shore up the banks, with a haircut imposed on uninsured deposits over \u20ac100,000.<\/em><\/p><\/blockquote>\n

…click on the above link to read the rest of the article…<\/p>\n

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Greek Banks Considering 30% Haircut On Deposits Over \u20ac8,000: FT Last week in\u00a0“For Greeks, The Nightmare Is Just Beginning: Here Come The Depositor Haircuts,” we warned that a Cyprus-style bail-in of Greek depositors may be imminent given the acute cash crunch that has brought the Greek banking sector to its knees and forced the Greek […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[3325,195,200,282,285,1167,434,4318],"class_list":["post-9694","post","type-post","status-publish","format-standard","hentry","category-economics","tag-creditors","tag-debt","tag-default","tag-european-central-bank","tag-eurozone","tag-greece","tag-international-monetary-fund","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/9694","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=9694"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/9694\/revisions"}],"predecessor-version":[{"id":9695,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/9694\/revisions\/9695"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9694"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9694"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9694"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}