Deutsche Bank: Greece will not default 4 Reasons

Night network, nightlife network Finance YORK, May 12 news, Tuesday 7 Greece needs to repay IMF [microblogging] (IMF [microblogging]).500 million euros loans, and loans Greece needs throughout the year to the IMF and the European Central Bank [microblogging] to repay nearly $ 12 billion。Due to the depletion of cash, fears that Greece may not be able to repay the loan, which appeared in some form of risk of default and bring Greece out of the euro。  But the German newspaper Der Welle published an article entitled "Greece can not exit the euro", saying even a small problem in Greece appear to pay creditors in Europe, the event will not lead Greece out of the euro, Greece out of the euro is not impossible things to avoid。The article cites Deutsche Bank (Deutsche Bank) HEINEN Nicolaus analyst's point of view, he believes that Greece will not default, mainly based on the following four reasons: 1. Risk of infection。80% of Greek government bonds in the hands of eurozone members, if Greece defaults, will lead the Greek government bonds plummeted, so that eurozone members suffered losses; 2. European Central Bank funding。The European Central Bank may continue to inject liquidity to Greek banks to help Greece in the short term refinancing; 3. Geopolitical factors。As an outpost in the eastern Mediterranean, Greece is not an option for Europe; 4. Capricious is a good sign。HEINEN said: "The Greek government's actions seem capricious, but this may show the level of devastation in Greece prospects may be less than half of media publicity。"But that does not mean that Greece did not worth worrying about。  According to the "Wall Street Journal" reported that, taking into account the risk of contagion of the Greek problem, IMF said it "is working with South-East European governments to develop contingency plans on a Greek default" because "there may not be able to reach an agreement to continue aid to Greece."。  The article also noted that the National Bank of Greece, Alpha Bank, Piraeus Bank and the European Bank Ergasias has about 20 percent of banking assets in Bulgaria, the former Yugoslav Republic of Macedonia, while these banks in Romania, Albania and Serbia also has a branch, once people in these areas feel they have the risk of deposits in Greek banks could panic and run。But Joerg Decressin, deputy director of the IMF's European division said it is difficult to quantify the scale。(Shofu compilation)