Mitsotakis, Lagarde discuss ‘Hercules,’ fiscal targets


Greece's plan to cut bad loans at Greek lenders by up to 30 billion euros and the country's fiscal targets were discussed in a meeting between Prime Minister Kyriakos Mitsotakis and the new president of the European Central Bank (ECB) Christine Lagarde in Frankfurt on Tuesday.

"Greek Prime Minister Kyriakos Mitsotakis and I discussed today the impressive progress the country has made in recent years. I am delighted to see the recovery and am confident the Greek government will continue to carry out reforms to enhance the economy," Lagarde wrote on her official Twitter account.

The two officials also focused on green growth and the removal of the restrictions that Greek banks have on their exposure to Greek bonds.

According to government sources, Lagarde noted the fast implementation of government reforms, as reflected by the numerous draft bills presented in Parliament and the positive assessment report of the institutions.

The plan to reduce non-performing loans (NPLs), dubbed “Hercules”, aims to help lenders offload bad debt by wrapping it into asset backed securities.