ECB to inspect Greek banks' progress on cutting bad loans

CrediaBank SA

30/06/2017 19:17

FRANKFURT, June 30 (Reuters) - The European Central Bank 
plans to inspect Greek banks this year to monitor their progress 
in working off their huge pile of unpaid loans, ECB director 
Sabine Lautenschlaeger said on Friday. 
    Greek banks have been cutting their share of non-performing 
loans (NPL) to companies and households, which account for 
slightly more than half of their books as a result of a severe 
economic crisis, to meet targets set by the ECB.  urn:newsml:reuters.com:*:nL8N1J3366 
    The ECB supervises Greece's four largest banks, or 
significant institutions (SIs), and is one of the three bodies 
responsible for the country's bailout, along with the European 
Commission and the International Monetary Fund. 
    "The ECB will perform on-site missions at the Greek SIs 
during the second half of 2017, a period in which the main 
operational measures to address NPLs ... have to be already 
implemented," Lautenschlaeger said in a letter to IMF chief 
Christine Lagarde.  
    She was responding to an IMF request for information on the 
ECB's supervisory work in Greece in the context of a possible 
IMF programme for the country.  
    Greece secured a credit lifeline from euro zone governments 
earlier this month. The IMF offered Athens a standby arrangement 
but said it won't disburse any money until it obtains greater 
detail on debt relief for the country.  urn:newsml:reuters.com:*:nL8N1JC2MP 
 
 (Reporting by Francesco Canepa; Editing by Hugh Lawson) 
 ((@FranCanJourno francesco.canepa@thomsonreuters.com; 
004906975651247; Reuters Messaging: 
francesco.canepa.thomsonreuters.com@reuters.net)) 
 
Keywords: GREECE BANKS/ECB