IMF Says Greek Banks May Need More Capital Than Estimates

Greek banks may need more capital than current estimates suggest, European and International Monetary Fund officials said as they reached a preliminary agreement to unblock money under the Mediterranean nation’s bailout.

“We take note of the stress test results and attendant capital needs estimates by the Bank of Greece,” the International Monetary Fund, the European Central Bank and the European Commission said yesterday in a joint statement. “However, according to the assessment of the mission teams, there are upside risks to the capital needs estimates, in particular, if the authorities and banks do not urgently and efficiently address the high level of non-performing loans.”