The out-of-court mechanism moved at a significantly higher pace in August this year compared to the same period in 2023.

More specifically, last month there were 1,039 arrangements, amounting to more than €322 euros, representing an increase of 50.36% compared to the 691 arrangements of August 2023, according to a statement by the Ministry of National Economy and Finance.

• Accordingly, new applications reached more than double the number compared to the same month last year, while submissions also recorded a significantly higher number. In particular, in August 2024, there were 3,031 new applications and 2,338 submissions, compared to 1,280 applications and 1,713 submissions in the same month of 2023.
• A total of 22,214 successful settlements were recorded for initial debts of €7.52 billion settled through the out-of-court mechanism by the end of August.
• A high average of 70% is the approval rate of financial institutions, while the rejection rate of debtors is extremely low, i.e. 5% for multilateral and 1% for bilateral arrangements.
• In addition, since the law was made that all creditors had to agree to the restructuring plan for vulnerable debtors, a total of 1,162 vulnerable citizens have been given an arrangement, and 72 have used the advance payment measure to stop the auction through the arrangement.

This month's progress report from the General Secretariat of the Financial Sector and Private Debt Management includes information about the largest loan management companies and the systemic banks. It shows that 18.5% of non-performing loans were restructured in the second quarter of 2024. The report also includes information about the bilateral agreements that were made in July, which were worth €281 million and involved almost 5,000 debtors.