Banks continue to make progress on reducing their bad loans, with the Bank of Greece (BoG) presenting its strategy for reducing bad loans to the European Commission at the end of last week.
Two of Greece’s systemic banks moved into 2019 with increased activity on their disposal of their pile of bad loans as the new year heralds a host of ambitious loan reduction targets.
Piraeus Bank’s third quarter (Q3) results showed that net profits from continued operations came to 94 million euros, picking up from profits of 24 million in the previous quarter.
Alpha Bank reported a net profit of 41 million euros in the third quarter (Q3) of the year, attributable entirely to profits originating from continued operations.
In the overview of the financial system that the Bank of Greece (BoG) published last week, the central bank goes into detail about the issue of non-performing exposures (NPE), the composition and dynamics of the most challenging legacy that the crisis has left for the country’s credit institutions.
One of Greece’s four systemic banks, Eurobank, has announced shortly after releasing its third-quarter results that the bank is forming its own special purpose vehicle (SPV) for handling its pile of bad loans.
In the overview of the Greek financial system that was published late on Thursday, the Bank of Greece (BoG) outlines its proposal for the systemic management of non-performing exposures (NPEs).
Eurobank recorded net profits of 45.1 million euros in the third quarter (Q3) of 2018 compared to profits of 1.1 million in the previous quarter.
Having weathered a tumultuous October, Greece’s domestic banking system and relevant stakeholders that include Bank of Greece and HFSF are looking into ways that will help banks reduce the risk on their books and bring down their non-performing exposures.
Greek authorities appear to be edging towards the option of creating an Asset Protection Scheme (APS) to help banks reduce their stock of bad loans, developments this week suggest.