ATHENS (Reuters) – Piraeus Bank <BOPr.AT>, Greece’s largest lender by assets, said on Monday it plans to securitize roughly 7 billion euros ($7.74 billion) of non-performing exposures (NPEs) in 2020.
Greek banks have been working to reduce more than 70 billion euros ($77.32 billion) in soured loans, the legacy of a financial crisis that shrank the country’s economy by a quarter.
Piraeus said it aims to cut its NPE ratio to 15% of its total loan book in 2022, from 49% last year, and to a single digit by 2023.
Its NPEs, which include loans which a bank thinks might become non-performing, were 25.7 billion euros at the end of September, from 27.3 billion at the end of 2018.
In October, Piraeus Bank announced a deal with Sweden’s Intrum <INTRUM.ST> to create a company to service its bad loan portfolio.
(Reporting by Lefteris Papadimas and Angeliki Koutantou; Editing by Renee Maltezou and Alexander Smith)