Consumers and firms continued to close their accounts in Greek banks and to cash in their holdings in the month of June as an European Central Bank report showed. The run to liquid assets added pressure on the country’s troubled banking sectors, sparking talks among investors of a possible Greek exit from the Eurozone. The renewed concerns about Greece’s exit from the euro are coming after the anti-bailout parties received strong support in May elections, but the Greek central bank announced the process had reversed after the June 17 election. The ECB’s numbers for June indicated that deposits for the month as a whole continued to drop. Private sector deposits in Greek banks slipped almost 5%, at the same pace we saw in the previous month. The total deposits decreased to 156.2 billion euros as of end-June from 163.1 billion for the previous month. That reading is more than one-third below the peak numbers in December 2009. The deposits are now at their lowest level in more than six years.
