Bad move on bank boards
The decision outlined in Greece’s new bailout agreement with international creditors to get rid of executives who do not have extensive experience in banking from the boards of directors of the country’s banks is wrong.
Greek banks have always had non-bankers as members of their decision-making bodies, drawn from the ranks of esteemed businessmen, academics and others who have significant knowledge and experience in diverse fields to bring to the table.
If the aim of this measure is to ensure that banks’ board members are not appointed to pander to political parties, then this is a case of hyperbole that will most likely have the opposite effect.
