Mitsubishi UFJ Financial Group

The European Union's (EU) antitrust watchdoghas imposed a fine on five major banks for collusion on the huge foreign exchange market - including Barclays and Citigroup.

Morgan Stanley sees that while steps have been taken to drastically reduce Greek banks' bad loans, several obstacles remain in their way. The international bank's report on Monday followed meetings between Morgan Stanley officials and representatives from the country's four systemic banks, as well as from Grivalia, the Bank of Greece and the Hellenic Financial Stability Fund.

Piraeus Bank's comeback to the public bond market – the first from a Greek bank in over four years – has fueled hopes that its lenders are on the road to recovery, but capital demands are looming as the next big challenge.