Eurobank and Piraeus Bank are renewing efforts to sell loans owed by the Kypriotis hotel group as HIG Capital fund, which had initially shown interest, is trying to take advantage of the coronavirus pandemic.
Yiannis Stournaras, Bank of Greece Governor, has already sent a draft of the bad bank plan to the Ministry of Finance. Also, he will run three tenders to hire advisors for different aspects of the plan.
Greek banks have managed to avoid capital losses arising from the coronavirus pandemic due to adjustments on the final transaction price of NPE sales with international investors by using the earn-out scheme.
What is hidden behind the battle between Bank of Greece (BoG) Governor Yiannis Stournaras and Deputy Finance Minister Giorgos Zavvos over the set up of a bad bank to handle non-performing loans (NPLs). What is going on behind the scenes.