Yannis Stournaras, Greece’s former finance minister, will become the next governor of the Bank of Greece, replacing George Provopoulos who presided over the stability of country’s financial system during its debt crisis.
European Central Bank Governing Council member George Provopoulos said a “normalization” on financial markets suggests the ECB might never need to activate its Outright Monetary Transactions bond-buying plan.
Greece doesn’t need to restructure its debt provided the country sticks closely to targets to reduce its deficit, Greek Central Bank Governor George Provopoulos said in an interview with Kathimerini newspaper.
The Greek government needs to make a “groundbreaking” effort to reduce its deficit and debt and implement deeper spending cuts this year to “favorably” surprise markets and overcome a lingering “credibility deficit,” Greek Central Bank Governor George Provopoulos said.
The National Bank of Greece, the country’s biggest lender, is planning to increase its share capital by as much as 2.1 billion euros ($2.9 billion) to cover a shortfall identified in the national regulator’s stress test, according to a person with knowledge of the matter.
Europe’s worsening growth prospects are losing significance for bond investors as bets the European Central Bank will begin asset-purchase stimulus measures support demand for the region’s higher-yielding bonds.