Moody's Sees 'high Likelihood' Of Capital Controls In Greece

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Moody's Investors Service said Wednesday its outlook on the Greek banking system is "negative", citing acute deterioration in funding and liquidity as reason for its view. "These pressures are unlikely to ease over the next 12-18 months and there is a high likelihood of an imposition of capital controls and a deposit freeze," said Moody's in a statement. More than €30 billion in deposit outflows have been recorded since December, Moody's said. Greece remains deadlocked with creditors about economic reforms, which are tied to future bailout funds for cash-strapped Athens.

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