Greece not a threat to banks, Goldman says - by Sean Farrell

A restructuring of Greece's debt does not pose a serious threat to Europe's biggest banks after the European Central Bank (ECB) propped up the country's finances, Goldman Sachs said yesterday.

Goldman analysts said the impact on European banks would be much smaller now than a year ago at the height of Greece's sovereign crisis. They calculated that a haircut of 20 per cent to 40 per cent on Greek government bonds would cause losses of €13bn (£11bn) to €41bn or 1 per cent to 3 per cent of tier one capital – for Europe's banks.

For more: Greece not a threat to banks, Goldman says - Business News, Business - The Independent