Bank deposits reversed drop in March

The trend of deposit outflows from the local banking system stopped in March, as Bank of Greece data showed a net inflow of capital amounting to about 1 billion euros.

The deposits balance came to 165.3 billion euros in March, up 0.6 percent from February?s 164.4 billion, the data showed on Thursday. On a quarterly level there was a decline of 8.8 percent and on a yearly level the drop was 17.4 percent.

Bank sources attribute March?s small rise in deposits to the calm political climate that month and to a small return of capital from abroad, following the agreement for the Greek debt restructuring and the signing of the deal for the second bailout program.

The future course of deposits will depend on the election outcome and the maintenance of a stable political atmosphere afterward, the same sources suggested.