Greek banks ready to support real economy

Greek banks ready to support real economy

ANA-MPA: Eurobank is ready to fund business plans with clear targets which are characterized by export orientation and competitiveness, Christos Megalou, the bank’s chief executive said on Tuesday.

Addressing a conference organized by the Hellenic-American Chamber of Commerce, Megalou noted that the domestic banking system was leaving behind a long period of managing the consequences of a fiscal crisis and it was now focusing on funding the real economy. Megalou stressed that Eurobank would double credit to businesses and individuals in 2015 to 2.0 billion euros, of which 1.6 billion will be distributed to enterprises. The Greek banker said that funding costs could fall further in 2015 depending on the cost of savings and the country’s borrowing costs.

Spyros Papaspyrou, deputy chief executive in Piraeus Bank, addressing the conference said that the banking system will have to approve new credit of up to 7.0 billion euros in 2015 in order to reverse negative credit growth rates currently prevailing in the market, while he added Greek enterprises were expected to change their borrowing model. Papaspyrou said that the banking system, combined with a new legislation, could help enterprises facing financial problems caused by the crisis, to become viable and to re-enter the productive process again.