Banking

There are a lot of moving parts in the government's attempt to create a scheme for guaranteeing the transfer of some bad loans from bank portfolios so as to improve their financial reports.

Bank shares took another hiding on Wednesday with stocks plummeting by 8.78 percent, reflecting what analysts say is Greece's vulnerability to internal and external pressures. 

A move by Greece to lift restrictions on cash withdrawals from domestic bank accounts and a further easing of capital controls are credit positive for its banks, ratings agency Moody's said on Thursday.

Capital markets have numerous benefits for different participants in the economy. For a company or entity in need of funding, domestic capital markets provide an alternative funding source from bank financing. While for investors and savers, capital markets can offer more attractive investing opportunities than bank deposits—depending on risk profile, liquidity needs, and other factors.

Turkey's banking sector's net profit totaled 38 billion Turkish Liras ($5.94 billion) this January-August, the Banking Regulation and Supervision Agency (BDDK) has announced.

Kathimerini understands Greek banks have made a pledge to the European Central Bank's Single Supervisory Mechanism that they will cut their nonperforming exposures (NPEs) to 17-22 percent of their portfolios by 2021, compared to today's highs of 43-54 percent.

The bank stock slump has gone on for too long and valuations are now exceptionally low, say senior credit sector officials. However, analysts questioned on the issue by Kathimerini say the problems that Greek lenders are facing will not be overcome quickly, justifying the pounding the sector has sustained on the Athens stock exchange.

SOFIA, Sept 26 (Reuters) - The banks in Bulgaria will have to set aside additional capital as of October 2019 to counter a build-up of cyclical systemic risks linked to credit growth and real estate prices, the Bulgarian central bank said on Wednesday.

Turkey's lenders can manage any risks and meet increasing loan demand, said the head of the industry association, noting there was panic among some businesspeople who significantly cut dues for their receivable, pushing others to ask for loans from banks.

Turkish banks and financial institutions have signed a loan restructuring framework agreement aiming to help businesses having difficulty paying off their debts, Turkey's Banking Association (TBB) has announced.