Greece: Slight drop in deposits

Greece: Slight drop in deposits

Deposits in Greek banks declined slightly last month, after six consecutive months of upward tendency; credit shrinking remains.

According to figures released by the Bank of Greece, bank deposits stood at € 139.16 billion from € 139.71 billion in August.

The private sector is not funded

At the same time, in September 2019, the annual change rate of the total financing of domestic economy stood at -0.9% from -0.7% in the previous month, while the monthly net flow was positive by € 182 million, against a negative net flow of 555m euros last month.

The annual change rate of total deposits stood at 4.0% from 3.3% last month, whereas the monthly net flow was positive at 1.427 billion euros, against a positive net flow of 601 million euros in August 2019.

The monthly net flow of financing to general government in September 2019 was positive by € 273 million, against a negative net flow of € 154 million last month. The annual change rate of general government financing stood at -3.1% from -4.4% last month.

In September 2019, the annual change rate of the total private sector financing stood at -0.5% from -0.1% in the previous month. The monthly net flow of total financing to the private sector was negative by € 92 million, compared to a negative net flow of € 402 million last month.

Business deposits declined; households increased

Meanwhile, in September 2019 private sector deposits increased by € 622 million, up from € 1.019 billion in the previous month, and the annual rate of change was 5.7% from 6.2% the previous month.

Corporate deposits declined by € 723 million in September 2019, compared to the 25-million decrease in the previous month; the annual rate of change was 4.1% from 5.9% last month.

Deposits by households and private non-profit institutions increased by € 101 million in September 2019, against a rise of € 1.044 billion last month and the annual rate of change was 6.0% from 6.3% last month. /ibna