Davos: Bank of America Corp Chief Executive Officer Brian T. Moynihan said Europe's common currency is holding together after rescue packages for Ireland and Greece were approved last year.
"We see the euro holding together; it's a committed-to structure," Moynihan said late Friday during a panel discussion in Davos. "We think it's fundamentally there and it's survived a major testing."
The European Union and the International Monetary Fund last year approved rescue packages for Ireland and Greece after concerns about mounting budget deficits pushed up bond yields and eroded confidence in the single currency. Most investors predict at least one nation will leave the euro area within five years, according to a Bloomberg Global Poll published on Wednesday.
Moynihan, 51, is head of the biggest US lender by assets and deposits. Bank of America is based in Charlotte, North Carolina.
Vikram Pandit, the CEO of New York-based Citigroup Inc who also attended the Davos conference, said the euro still has "enormous" support, and JPMorgan Chase and Co chief Jamie Dimon said on CNBC European leaders are "devoted" to making the euro work.
Bank of America declined 11 per cent in New York trading last year, the worst performance among the 10 biggest US lenders, as costs to repurchase faulty loans mounted and the firm wrote down the value of mortgage operations.
