Monday March 2, 2015 Search
Weather | Athens
11o C
6o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Credit decline will not exceed 2 pct if GDP rebounds

By Yiannis Papadoyiannis

Banks expect credit to continue shrinking in 2014, albeit at the slower rate of 2 to 3 percent, against a 4 percent contraction last year, with the latest Bank of Greece data showing a 3.83 percent yearly decline in loans issued in the first 11 months of 2013.

In the period from 2009 to 2013 the balance of loans to households and enterprises dropped by 39 billion euros due to the crisis, while deposits have fallen by 75 billion euros. Since end-2009 loans to enterprises have dropped by 26.3 billion euros, or by 20.2 percent, as in end-November 2013 the corporate loan balance stood at 103.7 billion, from 130.04 billion euros four years earlier.

Bank officials have told Kathimerini that if the economy confirms positive expectations for growth this year, the credit shrinking rate may be no more than 2 percent on an annual basis, with a return to credit expansion next year after five consecutive years of contraction, provided the general economic landscape remains favorable in 2015.

They warn, however, that should conditions take another negative turn, there will be a return to uncertainty and the economy will revert to a declining course, affecting credit flows with multiple consequences.

ekathimerini.com , Monday Jan 27, 2014 (22:22)  
Greek debt becoming less sustainable
No progress seen in tax administration
House protection criteria will benefit wealthy borrowers, too
Agenda
Greece to make international protest over Turkey reserving Aegean air space
Greece is protesting Turkey's move to reserve a large chunk of airspace over the Aegean Sea for military maneuvers until the end of the year, a Greek foreign ministry spokesman says. Foreign...
Spanish PM hits back at Greek accusation of anti-Athens axis
Spain's centre-right Prime Minister Mariano Rajoy hit back on Sunday against accusations from Greece's leftist premier that Spain and Portugal had led a conservative conspiracy to topple his...
Inside News
SOCCER
Super League to seek way out of impasse
The Super League governing board is convening again on Monday in a bid to overcome the tensions that keeps building up in Greek soccer despite the suspension of action on the field over the ...
BASKETBALL
Spanoulis leads Olympiakos to win over Malaga
A good second half was enough for Olympiakos to get the better of Unicaja Malaga (77-72) and score its seventh win in eight games at the second group stage of the Euroleague on Friday. Playi...
Inside Sports
COMMENTARY
A unionist agenda
Maybe Greece will not experience a credit event, because it is in no ones interest, as Minister of State for Coordinating Government Operations Alekos Flambouraris recently assured. Maybe...
EDITORIAL
The beguiling limelight
Too much media exposure is never a good thing and there is no shortage of newcomers in politics who are beguiled by the limelight. What usually comes after this thrall of publicity is the in...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
RECENT NEWS
1. Greece to make international protest over Turkey reserving Aegean air space
2. Super League to seek way out of impasse
3. Greek debt becoming less sustainable
4. No progress seen in tax administration
5. House protection criteria will benefit wealthy borrowers, too
6. Agenda
more news
Today
This Week
1. Greece to make international protest over Turkey reserving Aegean air space
2. Greece's lenders skeptical on new bills but focus on funding needs
3. Schaeuble softens tone, says Greece 'needs time'
4. Greece to prioritize IMF repayments but wants talks on ECB-held bonds, says Varoufakis
5. Lenders to be consulted over collective bargaining
6. Spanish PM hits back at Greek accusation of anti-Athens 'axis'
Today
This Week
1. Time for Alexis Tsipras to keep his nerve
2. A fierce battle looms
3. The ignorance of the West about the culture of Islam
4. Spain said to lead push to hold Greece to terms as Podemos grows
5. SYRIZA feeling the pain
6. The unlikely winners of Greece's surrender on euro
Find us ...
... on
Twitter
... on Facebook
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright 2015, H KAΘHMEPINH All Rights Reserved.