Sunday May 31, 2015 Search
Weather | Athens
14o C
09o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Markets reject concerns over local banks’ strength

 National Bank reported net profits of 809 mln euros last year

By Evgenia Tzortzi and Yiannis Papadoyiannis

The international market has rejected the troika’s reservations regarding the capital adequacy of Greece’s three systemic banks (Piraeus, National and Alpha) – as well as estimates by Standard & Poor’s – giving a strong vote of confidence in the bonds Piraeus Bank issued this week.

S&P estimated that Piraeus and Alpha will need additional funds to retain their capital adequacy index (Core Tier I) at 8 percent, but the market has offered full support to Piraeus by oversubscribing the bonds offered six times, with an interest of 5 percent. This serves to confirm the rejection of the rating agency estimates when investors aim at the high yields that the Greek issues can offer and are by far the best among all emerging markets.

In view of this market reaction, Deutsche Bank officials told Reuters that “Piraeus offered a great platform for the borrowing of other Greek entities,” and added that “investors are now much less concerned about ratings by the agencies than before,” when it comes to hedge funds.

The ever stronger picture of the local banking sector was confirmed by National Bank’s return to profit, according to the 2013 results it issued on Thursday.

The NBG group recorded net profits of 809 million euros last year, against losses of 2.14 billion euros in 2012, with earnings in the fourth quarter alone amounting to 547 million euros, thanks to the improvement in the country’s general financial climate.

The rise in profits was attributed in particular to the declining trend in nonperforming loans, which has allowed for the reduction of provisions and the decline of the cost of deposits (i.e. interest) and of operating expenditure in Greece by 5 percent.

The contribution of Turkish subsidiary Finansbank was also significant, as it ended the year with profits of 439 million euros, despite the financial difficulties in the neighboring country during the second half of last year.

ekathimerini.com , Thursday March 20, 2014 (22:40)  
Greece locked in talks with creditors as payment clock ticks
Effects of potential Greek default for banks not clear, ECB´s Constancio says
German bonds seen resilient as Greece talks produce false dawns
Checking lists of tax dodgers a slow process
Panaritis appointed Greece´s IMF representative amid SYRIZA complaints
The appointment of economist Elena Panaritis as Greece’s new representative at the International Monetary Fund has prompted criticism from within SYRIZA, as well as from opposition parties. ...
Police confirm two arrested, one dead in raid to catch bank robbery suspects
Police confirmed on Saturday that they have arrested two men in a raid to catch the men suspected of carrying out 400,000-euro robbery last year. A third man died during the operation near V...
Inside News
SOCCER
Wemmer pens three-year deal with Panathinaikos
German defender Jens Wemmer has signed a three-year contract for an undisclosed sum with Panathinaikos, the Greek Super League club announced on Friday. Right-back Wemmer, 29, has been playi...
SOCCER
Panathinaikos conquers PAOK through Tavlaridis goal
A Stathis Tavlaridis goal has brought Panathinaikos to practically within one point from clinching a spot in next season’s Champions League qualifiers, as the Greens made it three out of thr...
Inside Sports
COMMENTARY
Zenobia, Barbara, Christine and the general’s daughter
ATHENS – Lovely Palmyra has fallen to the zombie horde and its people are being slaughtered as the ancient city awaits its fate. It is Friday, May 22, 2015, and from my window I see the end-...
INTERVIEW
The eurozone’s ‘ambiguous’ architecture
“That’s not something you’re supposed to say in public, right?” In his humble way, Thomas Sargent, Nobel Prize winner in Economics, tries to avoid the question posed to him by Kathimerini re...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Greece locked in talks with creditors as payment clock ticks
2. Effects of potential Greek default for banks not clear, ECB´s Constancio says
3. Panaritis appointed Greece´s IMF representative amid SYRIZA complaints
4. Police confirm two arrested, one dead in raid to catch bank robbery suspects
5. German bonds seen resilient as Greece talks produce false dawns
6. Checking lists of tax dodgers a slow process
more news
Today
This Week
1. Traffic accidents down in March
2. Greece open to compromise to seal deal this week, says interior minister
3. Some blame EU Commission for Greek obstinacy in debt talks
4. German bonds seen resilient as Greece talks produce false dawns
5. Police confirm two arrested, one dead in raid to catch bank robbery suspects
6. Panaritis appointed Greece's IMF representative amid SYRIZA complaints
Today
This Week
1. Hotel contracts with a ‘Greek default clause’
2. Some 300 mln left banks on Tuesday
3. Neither Grexit nor a dual currency will solve Greece’s problems
4. No more 'quick and dirty' fixes for Greece
5. Endless confusion and worry
6. Romantic notions meet reality
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.