BoG: Write-offs kept NPEs in check over Q1 2017; figure stands at 103.9 bln€

7 June 2017
704 Views

Barroso: Grexit not off the table yet; certain quarters in Europe would pay for Greece to leave EZ 06/06 22:32
EWG teleconference called off; 10 out of 140 prior actions remaining to conclude Greek program 06/06 21:31
Uncertainty in tandem with expected benefits from the looming implementation of an out-of-court settlement framework for outstanding bank loans – itself a memorandum-mandated prior action – apparently increased the mountain of “bad debt” held by Greece’s systemic banks in the first quarter of 2017.

Nevertheless, based on the figures released on Tuesday by the Bank of Greece (BoG), write-offs kept the balance of non-performing exposures (NPEs) at even levels.

NPEs reached 103.9 billion euros at the end of March, some 1.4 billion euros lower than the target. Non-performing loans (NPLs) stood at 75.2 billion euros, 500 million euros higher than the target, the BoG said.

All eyes are now on the second half of the year in Greece, in terms of NPEs and NPLs, given that liquidations are expected to be accelerated due to the beginning of an electronic property auction framework, which will eschew the current bureaucratic-laden magistrate court framework. In fact, most auctions around the country have been blocked for months by protests and the abstention of notaries, due to opposition by their associations.

The memorandum-mandated out-of-court settlement framework is also expected to accelerate liquidations.

The last “tool” in the kit remains write-offs, although bank officials in Athens told “N” the goal in the initial phase is to rely loan restructuring and liquidations.

You may be interested

Watch Turkish coast guard boats provoke Frontex vessel in Greek waters (video)
GREECE
shares87 views
GREECE
shares87 views

Watch Turkish coast guard boats provoke Frontex vessel in Greek waters (video)

makis - May 21, 2020

In a highly egregious move, a Turkish coast guard vessel demanded that a Frontex boat patrolling in Greek territorial waters…

PM Mitsotakis announces 24 billion package to restart economy (video)
GREECE
shares68 views
GREECE
shares68 views

PM Mitsotakis announces 24 billion package to restart economy (video)

makis - May 20, 2020

Prime Minister Kyriakos Mitsotakis announced a 24 billion package to “win the war of the economy” which will be released…

Daily Mail: Hope for summer holidays as Greece becomes first country to offer to waive 14-day quarantine for British tourists
GREECE
shares66 views
GREECE
shares66 views

Daily Mail: Hope for summer holidays as Greece becomes first country to offer to waive 14-day quarantine for British tourists

Panos - May 20, 2020

Greece has offered to waive its 14-day coronavirus quarantine for British tourists and holiday firms are planning to restart flights…

Leave a Comment

Your email address will not be published.