ECONOMY

Banks asked to detail credit activity abroad

The Bank of Greece yesterday announced that credit institutions based in Greece will have to report on their lending activities abroad as Greek banks are becoming more active internationally. The Bank of Greece, part of the Eurosystem, said banks will have to report to it on a regular basis on their loan balances to foreign residents – individuals and legal entities. The decree, signed by governor Nicholas Garganas, requires data by banks domiciled in Greece and their foreign subsidiaries on credit extended to residents of a foreign country. The requirement will apply when banks’ external assets or external liabilities exceed the sum of 5 million euros or 2 million euros on a per-country basis. Banks will have to provide data on a country-by-country and a regional basis, the central bank said. Aside from loans, external asset balances include Greek bank deposits in foreign credit institutions, positions in money market instruments, shares, bonds and stakes in companies. The requirement also applies to off-balance-sheet items such as guarantees extended to clients and over-the-counter derivatives.