Banks tell IMF they will tackle NPLs faster


Leading International Monetary Fund officials and Greek credit sector representatives agreed at a meeting in Washington on Thursday that any capital injection for local lenders will have to depend on the progress and results of their efforts to reduce nonperforming loan portfolios.

Representatives of the Hellenic Bank Association met with Poul Thomsen and Delia Velculescu in the context of the World Bank/IMF’s Annual Meetings and assured them that the pace of tackling NPLs will be accelerated. They also said the first online property auctions will have taken place by end-November.

Analysts noted to Kathimerini that the IMF is firmly in favor of a capital boost for Greek banks, that it has achieved most of what it sought from the compromise with the European Central Bank, and that any change in its stance is only likely to come if there are rapid and impressive results in the management of NPLs.

Meanwhile oin Thursday IMF Managing Director Christine Lagarde told a press conference that the Fund is not asking for any new measures from Greece, but rather for the application of all those already agreed.

She also called on the eurozone to move ahead with the easing of the Greek national debt.