Despite intensifying global challenges, in 2025, the Greek economy maintained a strong rate of growth, outperforming the eurozone average for the 5th consecutive year.

Real GDP grew by 2.1% – the same as in 2024 – supported by growth in investment, consumption and net exports, and aided by European Development Fund financing, Piraeus Bank President George Hadjinicolaou said, speaking at the bank’s annual general meeting.

He said the positive macroeconomic developments in Greece in 2025 have allowed the banking sector to continue the positive trend we have seen in recent years.

In more detail:

– During 2025, Greek banks’ profitability continued the upward trend of recent years, mainly supported by credit expansion, a significant increase in net fee and commission income, and a reduction in provisions for credit risk. As a result, return on equity moved to a high level.

– Private sector bank deposits grew at a faster pace in 2025 compared to 2024, recording, an increase of €10.4 billion (compared to an increase of €8.6 billion in the previous year), the largest since the pandemic. As a result, the total balance of private deposits reached EUR 213 billion, the highest level since June 2010.

– Capital adequacy ratios remained at high levels, and are now largely in line with their European counterparts. And the non-performing loan (NPL) ratio declined further to 3.3% in 2025 (from 3.8% in December 2024), coming even closer to the euro area average (2.2%).

– These positive developments were reflected in the credit rating upgrades of Greek systemic banks to investment grade, resulting in a reduction in banks’ borrowing costs.

– The reduction of Eurosystem interest rates and the reduction of banks’ refinancing costs from the capital and bond markets resulted in a reduction of bank borrowing costs for corporates and households.

Developments in 2025 once again confirm the interconnectedness between the economy and the banking sector and the dynamics of the virtuous cycle, and underline the importance of economic stability and economic growth as prerequisites for positive bank returns. And banks, in turn, support economic growth with healthy credit expansion supported by capital and deposits generated by the positive environment.

It is no exaggeration to say that Greek banks, benefiting from this virtuous cycle, are in the best position in many years, with strong capital adequacy, great liquidity, and in the best possible position to finance the Greek economy, reflecting the progress of the Greek economy in recent years,

For Piraeus Bank, 2025 was a very productive year, as it exceeded its targets in all areas, with milestones including the systematic progress of the Group’s transformation, the consolidation of high profitability and rewarding shareholders through a strong dividend policy, and the creation of goodwill, Mr.Hatzinikolaou. Speaking about 2026, he said Piraeus will continue to evolve into an organisation that is more agile and more technologically mature, with digital capabilities and strategic use of data embedded at the core of its operating model, improving its ability to serve its customers more efficiently.

X.Megalou: Greece’s macroeconomic fundamentals are improving consistently

Despite continued international volatility, Greece’s macroeconomic fundamentals are improving consistently, creating conditions for sustainable growth, Piraeus Bank CEO Christos Megalou said, speaking at the bank’s annual general meeting.

He said the country now has an investment-grade credit rating from all rating agencies, with Greek government bond spreads converging to the eurozone average, supported by lower unemployment levels, recurrent primary surpluses and continued reduction in public debt.The untapped potential in many market sectors reinforces Piraeus Bank’s strategic commitment to maintain Greece as its main market of operations.

Megalou referred at length to the bank’s positive financial performance for 2025, noting that it was a year of strong performance and strategic moves. Piraeus Group continues to grow, recording dynamic net credit expansion, deposit inflows and more funds under management, while asset quality remains high.

“We achieved a return on equity of 16% with tangible equity per share at EUR 5.9. Our revenues showed resilience as our loan portfolio grew 11% per annum with EUR 3.9 billion of net credit expansion, exceeding the annual target.

We continue to create value for our clients who trust us with the largest asset base under management in Greece: EUR 66 billion in deposits and EUR 14.5 billion in investment funds. Capital adequacy ratios remain at strong levels following the acquisition of Ethniki Insurance, supporting growth, distributions to shareholders and continued investment. The overall capital ratio stood at 18.7% in December 2025,” he said among other things.

He also referred in detail to the Business Plan 2026-2030. The strategy focuses on three main priorities. Strong and profitable growth, enhanced efficiency and optimal capital allocation focusing on shielding the balance sheet, maintaining high reserves against regulatory requirements and increasing distributions to shareholders.

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