ECB executive Nouy: Tackling NPLs does not need to commence with primary residences

16 November 2016
748 Views

The head of the ECB’s supervisory board, Danièle Nouy, this week emphasized that whatever measures to manage and begin reducing the Olympus-sized mountain of non-performing loans (NPLs) in Greece does not have to commence with foreclosures and auctions of debtors’ primary residences.

Nouy’s high-profile statement is apparently indicative of how the Single Supervisory Mechanism (SSM) wants to tackle the specter of NPLs both in Greece, where it is a priority, as well as in the Euro area.

In a reply to Greek MEP Eva Kaili, Nouy said the SSM is ready to accept the extension of legal protection against creditors for a debtor’s primary residence beyond 2017. She also reminded that the problem of NPLs is very significant in Greece (above 100 billion euros), but is primarily comprised of business and corporate loans.

The ECB executive said when issues reach the level of individual citizens, “things are different”, while adding that the SSM has assigned a task force the issue of drafting directions to deal with NPLs.

A report by the task force is expected within the month, with its recommendations expected to form a “road map” for the issue.

You may be interested

Confrontation between Dendias & Cavusoglu at the press conference
POLITICS
shares65 views
POLITICS
shares65 views

Confrontation between Dendias & Cavusoglu at the press conference

makis - Apr 15, 2021

Diplomatic etiquette was cast aside in an astonishing joint press conference between Greek Foreign minister Nios Dendias and his Turkish…

Russia suspends flights to Turkey
DEFENCE
shares49 views
DEFENCE
shares49 views

Russia suspends flights to Turkey

Panos - Apr 15, 2021

Russia will restrict flights to and from Turkey from April 15 to June 1 due to a rise in COVID-19…

EU member-states agree to issue Covid-19 travel certificate
GREECE
shares69 views
GREECE
shares69 views

EU member-states agree to issue Covid-19 travel certificate

Panos - Apr 15, 2021

European Union countries today formally agreed to issue Covid travel certificates as a step towards reopening tourism this summer with…

Leave a Comment

Your email address will not be published.