The Greek Deal.com
LOANS
Demand for mortgage loans decreased in the third quarter
In Q3 2024, the lending criteria for non-financial corporations (NFCs) remained unchanged compared to Q2 2024, in line with the expectations expressed in the previous quarter's survey as the Bank of Greece announced today.
The Greek State proceeds with the early repayment of €8 billion loans
The Greek government will repay loans from the Support Mechanism totaling around €8 billion in December.
Deposit and loan rates almost unchanged in August
The weighted average interest rates on new deposits and loans remained almost unchanged in August 2024, at 0.54% and 5.84%, respectively, according to Bank of Greece data.
Greece has the highest rate of NPL's
According to the results of a recent Octane study on the Greek NPLs market, Greece still has the highest NPL rate in the European Union, at 3.3% compared to an average of 1.9% by Q2 2023.
€69.77 billion of loans managed by servicers
The nominal value of domestic private sector loans managed by servicers and transferred to specialized financial institutions abroad decreased by €277 million in the second quarter of 2024.
Debts of more than €500 million settled off court in July
The upward pace of the out-of-court settlement mechanism continued, leading to a new record of 1,952 settlements for the month of July, corresponding to €518 million in arrears.
Criteria and loan conditions remain stable in the second quarter
While the general requirements for granting business loans were somewhat loosened in Q2 2024, the standards for lending to non-financial corporations (NFCs) stayed the same.
Decline in household deposits, increase for businesses
In May, net financing to the private sector was €66 million, while net financing to businesses was positive by €105 million.
The gap between deposit and loan rates has closed
Based on data from the Bank of Greece, the interest rate on new loans decreased marginally, narrowing the difference with the new deposit rates.
The Greek economy is resilient – Warnings about non-performing loans and debts
The Greek economy proved resilient in the face of external shocks and expanded by 5.6% in 2022.
Deposit and loan interest rates increased in October
In October 2023, the weighted average interest rate on new deposits increased to 0.46%, while the corresponding interest rate on new loans remained almost unchanged at 6.17%.