ECB Against Planned Bond Roll-over
Thursday, 17 October 2013
The European Central Bank opposes Greece's planned bond roll-over next year, saying it would have a negative effect on the capital adequacy of two of the country's big banks, Reuters said, quoting a report in daily Kathimerini.
Frankfurt claims that plugging the funding gap via a rollover would be pointless as this would create new capital needs, the paper said.
Citing an unnamed EU official, Kathimerini said the EU Commission is willing to discuss the proposal but the rollover would not be able to fly without the ECB's approval.