Fitch has now downgraded four of the leading banks in Greece by one / two notches , due to the bulging deficit of the country. The rating agency is also likely to review the rating further by the end of March, based on major moves expected to be taken by the Greece government.
The cost of borrowing goes up further for these banks and therefore for the entire Greece economy due to the rating cut. Also these banks would now find it difficult to borrow money from banks in other countries as the global banks would be wary of lending to Greece banks.