ECONOMY

Eurobank says review confirmed portfolio quality

Eurobank EFG, Greece?s second-biggest bank, said the base scenario of a BlackRock Solutions review of its loan portfolio showed additional requirements under a base scenario can be covered by Greek pre-provision income of 1 billion euros within 18 months.

?The BlackRock Diagnostic Exercise results confirm the high quality of the bank?s loan portfolio,? according to an e-mailed statement from the Athens-based lender on Friday.

The analysis estimates total potential credit losses over a three-year period of 4.2 billion euros under a base scenario and 5.4 billion euros under a ?stress? scenario.

Following additional stress buffers from the Bank of Greece, the three-year credit losses projection amounts to 4.9 billion euros and 6.5 billion euros under the ?stress? scenario, Eurobank said. [Bloomberg]