Moody's recognizes BoG recapitalization figures

The estimate deficit between the ministry and the Troika reps (particularly Paul Thomsen of the IMF) is around 2.5 billion euros. Greece is sticking by the BlackRock review, the IMF strongly disagrees with. Now Moody's has come out for the Greek estimate, saying the banks' needs are at 6.4 billion euros. That's very close to the 6.2 billion the BoG estimates.

Moody's notes that most Greek banks will be able to draw the major part of their funding from the private sector, given the rising interest of investors for Greek assets. In any case, even if they can't, the House believes the additional funding can comfortably be drawn from the Hellenic Financial Stability Fund (HSFS), therefor protecting both investors and depositors.

Moody's report says that the four major Greek banks will be needing a total of 5.8 billion, way less than the almost 9 billion currently in the HSFS purse. It goes on to add that the banks have to submit their recapitalization plans to the Bank of Greece by April 15, which is the Tuesday before Orthodox Easter. These plans are expected to include issue of new stocks, sale of non-financial assets and further reshuffling.