Breaking News
0

All Greek banks seen passing ECB's stress test, NBG says

EconomyApr 16, 2018 05:28AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. CEO of National Bank of Greece Fragiadakis poses for a picture in his office before an interview with Reuters at the bank's headquarters in Athens

By George Georgiopoulos

ATHENS (Reuters) - Greek banks will pass the European Central Bank's (ECB) stress test of their financial health, the chief executive of the country's second-biggest lender, National Bank (NBG) , said on Monday.

The ECB will publish the results of a stress test of Greece's four largest lenders - Piraeus (AT:BOPr), NBG, Eurobank (AT:EURBr) and Alpha (AT:ACBr) - in May to allow time for any capital shortfall to be filled before Greece leaves its bailout program in August.

"All Greek banks will pass the stress tests. The results will be encouraging," Leonidas Fragiadakis told reporters on the sidelines of a signing ceremony with the European Investment Fund on loan facilities for small businesses.

The Greek stress test, aimed at uncovering any capital shortage before Athens exits its 86 billion-euro ($106 billion) bailout, will be carried out separately from a regular stress test of other euro zone banks.

Test results for 33 lenders from other euro zone countries will be published on Nov. 2.

Greek banks have been recapitalized three times since a debt crisis exploded in 2010, but are still burdened by 96 billion euros of soured debt. They have committed to targets to reduce that to 65 billion euros by 2019.

"The Greek banking system will emerge more than OK," Fragiadakis said.

The CEO also said NBG was looking to approach two Chinese investors over the sale of a majority stake in its insurance unit National Insurance, after a plan to sell it to Netherlands-based EXIN fell through.

"We are discussing the details of the procedure to approach the two Chinese investors so that the sale takes place as soon as possible and with a positive impact on National Bank," Fragiadakis said.

Last month, NBG terminated a deal to sell a 75 percent stake in its insurance subsidiary to EXIN Financial Services Holding.

EXIN Partners and U.S. Calamos Investments had agreed to buy the stake for 718 million euros, but the deal turned sour after a legal row erupted between the two buyers.

All Greek banks seen passing ECB's stress test, NBG says
 

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email