Economy
Greek banks' capital backstop and the funding gap: An uneasy relationship
The recapitalisation of Greek banks carried out in June 2013 put an end (at that time) to a long period of uncertainty regarding the bolstering of their capital base and ability to raise fresh money from private investors.
Greek banks' reliance on Eurosystem funding rose in December for first time since April
Greek banks’ Eurosystem funding, the combined liquidity they have received from the European Central Bank (ECB) and the Bank of Greece (BoG) Emergency Liquidity Assistance (ELA) mechanism, rose by 2.92 billion euros in December, according to the BoG’s 2013 annual accounts.
Greece records primary cash deficit in 2013
Greece’s 2013 central government net balance on a cash basis showed the deficit widening by 19.6 percent to 12.79 billion euros from 10.7 billion last year, according to the Bank of Greece (BoG).
Indices for turnover, new orders in industry post big falls in November
The Turnover Index in Industry fell 11.7 percent in November, while New Orders Index in Industry dropped by 8.9 percent, according to the Hellenic Statistical Authority (ELSTAT).
Building activity posts first rise in 20 months but overall picture grim
Greek building activity (as measured by the number of building permits) rose by 4.1 percent year-on-year (yoy) in October for the first time since February 2012, according to the Hellenic Statistical Authority (ELSTAT). The respective surface area number recorded a modest 1 percent increase, while volume also rose 5.7 percent.
Greece closes 2013 with 691 mln budget primary surplus despite late investment spend
Greece’s 2013 budget execution showed a primary surplus of 691 million euros (0.4 percent of GDP) from a deficit of 3.46 billion last year, according to the preliminary data released by the Ministry of Finance (MoF) on Tuesday.
Greece saw first annual deflation in almost half a century in 2013
The drop in Greece’s Consumer Price Index (CPI) decelerated to 1.7 percent in December after peaking with a 2.9 percent decline in November, according to the Hellenic Statistical Authority (ELSTAT).
Bank of Greece decision bolsters Greek lenders’ capital ratios
In an unexpected move, the Bank of Greece (BoG) repealed a previous cap on the deferred tax asset (DTA) recognition in Greek banks’ Core Tier 1 (CT1) calculation, resulting in a positive impact on their capital ratios effective in the fourth quarter of 2013.
Unemployment hit new high of 27.8 pct in October, set to rise further
Greece officially assumed the presidency of the European Union on Wednesday, with the highest unemployment rate in the 28-member bloc. According to the Hellenic Statistical Agency (ELSTAT), the seasonally adjusted jobless rate in October stood at 27.8 percent from an upwards revised 27.7 percent in the month of September.
Drop in industrial production accelerated in November with 6.1 pct decline
The drop in the Industrial Production Index (IPI) accelerated in November to 6.1 percent following a downwards revised 4.7 percent decline in October, according to the Hellenic Statistical Authority (ELSTAT).