To upgrade of Eurobank, the National Bank and Attica Bank, the evaluation house proceeded Moody’s Following the upgrading of the Greek State’s debt to the investment level on Friday (14.3.2025).
Specifically, Moody’s upgraded Baseline Credit Assessment (BCA) of Eurobank and National Bank in BAA3 from BA1 and Attica Bank to B1 from B2. The debt of long -term deposits and the Eurobank and the National Bank was upgraded to BAA1 by BAA2, with the prospects of positive ones.
The equivalent to Attica Bank was upgraded to BA2 by B1 with the prospects of remaining positive.
Eurobank’s upgrade reasons
The upgrade of the Eurobank BCA was caused by the recent upgrade of the Greek State’s debt (in BAA3 with fixed prospects from BA1 with positive prospects), which previously limited the bank’s autonomous credit profile, and is supported by the strong and differentiated profit capacity of the bank.
Among other things, Moody’s reports that Eurobank has achieved 18.5% Tangible Equity during 2024, incorporating a net profit contribution of approximately 709m euros (which accounts for 48% of the Group’s net profit) from the South Eastern European activities (including Cyprus).
The bank’s geographically differentiated profits, a feature that distinguishes it from other Greek banks, is one of the main factors behind its strongest financial profile, as it partially shields the bank from any volatility in the Greek economy, Moody’s notes.
The reasons for upgrading the National Bank
The EIB’s credit rating was upgraded to BAA3 by BA1, after upgrading the Greek State’s credit rating (BAA3 from BA1), as the bank’s autonomous credit profile was previously limited by the Greek State’s debt due to its significant report.
BCA upgrades take into account, among other things, Moody’s, EIB’s strongest capital index on the market, with capital (CET1) 18.3% in December 2024 from 17.8% in December 2023, providing good growth capacity and the largest damage pillow between Greek banks.
Improving profitability is also a BCA upgrade factor, with a Tangible Equity of 17.5% in 2024.
The upgrade of Attica Bank
The upgrade of Attica Bank’s BCA to B1 is mainly due to the completion of the securitization of its non -performing openings (NPE) through the state -supported asset protection program (Heracles III), with which it was free from red loans of approximately € 3.7 billion.
The liquidation of the NPEs has therefore greatly enhanced the bank’s solvency and paves the way for its future growth and restoration of its market credibility, Moody’s notes.
The upgrade of BCA also takes into account the good quality of new lending over the last two years, which have mainly been the form of loans to small and medium -sized enterprises and business openings that are well differentiated in different sectors.
Source: RES – EIA