The quality of loan portfolios at Greece’s credit institutions continued to improve during the first half of the year, with the stock of nonperforming loans (NPL) at the country’s banks falling by 2.4% from December 2024.

At the end of June 2025, the NPL stock stood at EUR 5.8 billion on a solo basis, down by 2.4% from December 2024, primarily due to loan recoveries, sales, and write-offs.

The Greek banking NPL ratio was 3.6% at the end of the first half of the year, which is 0.2 percentage points lower than the 3.8% recorded at the end of 2024, as credit growth was accompanied by a decline in NPLs. This is the lowest NPL ratio since Greece joined the euro area and is largely in line with the average for significant institutions in the Banking Union (June 2025: 2.2%).

Additionally, the NPL ratio of less significant institutions dropped to 5.9% in June 2025.

Original Story: NPL Confidential | Author: Phil Karametos
Edition: Prime Yield