Bank of Greece governor Yannis Stournaras on Friday revealed that he intends to recommend a complete lifting of capital controls, in statements after meeting Prime Minister Kyriakos Mitsotakis.
During their meeting on Friday, the prime minister and central banker discussed broader developments in the Greek economy and financial system. According to sources, they emphasised the upbeat forecasts of international financial markets about the Greek economy's prospects under the new government, as reflected in an improved cost of borrowing for the Greek state and the confidence shown by investors in the bonds issued by Greek systemic banks, such as Piraeus Bank and National Bank of Greece.
Stournaras also commented that he was "exceptionally happy to visit the Maximos Mansion again after 3.5 years" and noted that, with respect to the financial system, "all the weapons are on the table" and that Greece needed fiscal space to carry out reforms.
The central banker said that the primary surplus was currently at 2.9 pct, short of the 3.5 pct target, but appeared confident that the target can be met by boosting growth. With respect to non-performing loans, he said that both proposals submitted can be implemented.