EBRD: Romania, Bulgaria, Serbia need a defense ring for potential Greek withdrawal from eurozone

Romania will hold on after the crisis started by Greece's potential exit from the eurozone, even though Greek banks have significant exposure in the country, but a defence ring needs to be created around Romania, Bulgaria and Serbia to help them deal with the situation, according to the European Bank for Reconstruction and Development representatives. Erik Berglof, the head economist of EBRD said a defence ring needs to be created around these three countries but Romania, the largest of the three countries, will withstand a potential crisis despite the high Greek exposure. Greek banks control 13 percent of the banking system in Romania. According to the Romanian Central Bank, the solvability rate in the banking system is over 14 percent and the local subsidiaries of Greek banks are well capitalized. editor@romania-insider.com