Eurobank applied to take part in Greece's Hercules bad loan reduction scheme with a third securitisation, dubbed Cairo-III, the country's third-largest bank said on Friday.
Banks in Greece have been working to reduce a pile of about 75 billion euros in bad loans, a legacy of a financial crisis that shrank the country's economy by a quarter.
The decision to exclude from state loan guarantees any enterprises that had outstanding debts before the coronavirus crisis, or had been funded through a state guarantee but became insolvent, was a necessary one.
The rule will ensure that strategic defaulters will not seek to take advantage of the crisis.
Estimates pointing to a deep recession in Greece this year and a steep rise in the national debt as a result of measures to contain the coronavirus pandemic are generating questions about what will happen once the crisis subsides and raising new debt sustainability concerns. Economists asked by Kathimerini stress that Greece is armed with weapons it did not have before.