A Walk, Not a Run, but It Continues
Jan 10 (Reuters) – Greek business and household bank deposits fell 2 percent in November, continuing their steady decline in 2011, the country’s central bank said on Tuesday. Bank of Greece data showed deposits dropped to 172.89 billion euros ($221 billion) in November from 176.4 billion euros in the previous month. A shrinking deposit base — in part caused by capital flight — has added to the strains of Greek banks, which have become dependent on ECB funding for their liquidity needs as access to wholesale funding remains shut on sovereign debt fears.
Deposits have shrunk by 36.71 billion euros or 17.5 percent since the beginning of 2011.