Bank of Greece Governor Yannis Stournaras on Tuesday called on credit institution leaders to be vigilant in order to reduce to the greatest degree possible credit threats and repercussions on the ability of banks to continue to fund the economy without obstacles.

Following a series of meetings he held with European officials, Greece’s central banker said that despite the fact the bank sector is currently in a much stronger position, the Middle East war creates a new, serious turmoil on the supply front, which starts off with energy prices, while it also affects the pricing of other goods and services significantly, with serious repercussions for the global economy, capital and currency markets, and the banking sector as well.

At the same time, he said that this new crisis reminds Europe – which is affected much more as a net energy importer – that it must move ahead as soon as possible to the Savings and Investments Union, and the reduction of its dependence on imported fossil fuels, mainly through the transition to green energy.

Source: Ekathimerini.com