Credit expansion of 8% in Q1

Bank of Greece data for the first quarter of the year confirm the recovery of financing to businesses that will support credit expansion in 2024, as the net flow of financing moved into positive territory, in the order of of 333 million euros.

The net flow of financing captures new loan disbursements after repayments of existing debts and the positive sign in the first quarter is a consequence of the increase in borrowing in March by €1.9 billion, raising the rate of credit expansion for businesses to 8%.

Business lending amounted to €76.4 billion, of which €67.4 billion is loans to industry, trade, tourism, construction etc - i.e. non-financial businesses - while another €8.9 billion is loans to insurance companies. Another €4.5 billion is loans to freelancers, farmers and individual businesses, which constitute a small part of business loans. In addition to the high...