Piraeus to cut NPE ratio below 6%

Piraeus Bank, Greece's fourth-largest lender by market value, said on Monday it will cut its nonperforming exposures (NPE) ratio to below 6% of its loan portfolio in 2023.

Under a business plan for 2022-2025, unveiled last year, Piraeus aimed to decrease its NPE ratio to 3% by 2025 and possibly start paying out dividends from 2024 onward.

Piraeus Chief Executive Officer Christos Megalou told an analysts' call on Monday that the decision on dividends will be examined at the end of the year.

"We will be assessing the situation as we come closer to those days. We estimate that we will be well above the supervisory guidance," he said.

The bank targets earnings per share above 0.45 euros this year, up from estimated earnings per share of €0.27 for 2022.

Piraeus, which is 27% owned by the country's HFSF bank rescue fund, said it expects a cost-to-income...