Healthy banks are key to growth

Over the past few years, Greek banks have played a significant role in the overall development of the country and have also displayed the kind of extroverted policy that has earned them praise.

However, there are certain lenders that have acted in a manner that is less than transparent, a manner based on personal relationships and transactions that serve interests which are not necessarily in line with those of their shareholders.

This, after all, is the reason why we have reached a point where there are a number of companies active in Greece whose debts to banks far outweigh their net revenue or businesses that are being kept afloat through artificial means, at a time when other businesses — healthy ones — are struggling to stay afloat.

If Greece wants growth on clear terms and on the basis of clientelist or preferential relationships, then its banking sector needs to be purged of underhand dealings.

The state of certain banks just goes to show that while the arrival of inspectors from abroad does scare some, it may very well be necessary after all.

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