New strategy proposed for over-indebted company overhauls

28 August 2016
883 Views

New measures are being proposed for banks to take control of businesses when their borrowing exceeds acceptable levels as a means of accelerating the restructuring of firms.

The measures, already implemented or under debate in larger economies such as those of the UK, Germany, France or Spain, are being proposed in order to solve the problem of shareholders of over-indebted companies who, though refusing to invest fresh money in their businesses, raise obstacles against selling or restructuring them.

Sources close to the discussion explain that international accounting standards are being applied as the benchmark for evaluation these companies in order to avoid controversy.

The problem of such firms, which account for 44.6 percent of non-performing loans, will be the focus of talks with Greece’s international lenders in the immediate future, pushing for more efficient management of the problem.

According to data from the Bank of Greece, the most indebted sectors are agriculture, with non-performing loans at 58.8 percent, commercial real estate at 54.6 percent, tourism at 53.8 percent, construction at 52.5 percent, manufacturing at 51.7 percent and trade at 48.5 percent.

You may be interested

Mitsotakis: Vaccination for those over 30 starts on Holy Week
GREECE
shares14 views
GREECE
shares14 views

Mitsotakis: Vaccination for those over 30 starts on Holy Week

makis - Apr 21, 2021

The Prime Minister Kyriakos Mitsotakis announced in his message on Wednesday afternoon the expansion of the vaccination program to the…

Microsoft to create 3D chatbots from dead people!
WORLD
shares76 views
WORLD
shares76 views

Microsoft to create 3D chatbots from dead people!

Panos - Apr 21, 2021

Microsoft has filed a patent that would allow the company to digitally revive deceased loved ones as chatbots, using the…

Yes, you may be reading the wrong horoscope & No, it isn’t NASA’s fault your zodiac sign changed
GREECE
shares21 views
GREECE
shares21 views

Yes, you may be reading the wrong horoscope & No, it isn’t NASA’s fault your zodiac sign changed

Panos - Apr 21, 2021

There are actually 13 signs of the zodiac, and the Earth’s axis has shifted since the Babylonians codified the horoscope…

Leave a Comment

Your email address will not be published.