Greek banks report €3.5 billion profit, plan capital improvements

Greece’s systemic banks—Alpha Bank, Eurobank, National Bank of Greece, and Piraeus Bank—plan to expedite the repayment of deferred tax credits (DTC) starting in 2025, a move that credit rating agency Morningstar DBRS has praised as credit positive.

DTCs, a legacy of the debt crisis, constitute a substantial portion of the banks’ capital but are considered a weaker form of capital.

According to Morningstar DBRS, accelerating the repayment of DTCs will