The head of Eurobank, one of Greece’s four systemic banks, on Monday was quoted by Reuters as calling for an “effective solution” to the growing and massive “mountain” of debt entailed in non-performing loans (NPLs) held by domestic lenders.
Eurobank president Nikos Karamouzis said the current challenge for Greek banks is not adequate capital but finding the volition to deal with NPLs. He called for an appropriate mechanism to deal with banks’ NPL portfolios, which now exceed 110 billion euros.
The Greek banking executive said a goal of reducing the value of NPLs by 10 billion euros per year revolves around a realistic axis, and over the next four years.
