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S&P: Positive Outlook for Greek Banks Following Capital Improvement

Published January 28, 2026, 09:19
S&P: Positive Outlook for Greek Banks Following Capital Improvement

S&P Global Ratings has revised the outlooks for Eurobank, National Bank of Greece, and Piraeus Bank to positive, recognizing significant progress in their capitalization and the strengthening of their business models. The long-term and short-term credit ratings for the three banks were affirmed. S&P attributes its decision to the improvement in the fundamental conditions of the banking sector and the more favorable macroeconomic environment in Greece, which supports asset quality and profitability prospects. Specifically, Eurobank maintains ratings of “BBB-” (long-term) and “A-3” (short-term), while the National Bank of Greece also has ratings of “BBB-” (long-term) and “A-3” (short-term). Piraeus Bank maintains ratings of “BB+” (long-term) and “B” (short-term). All banks were also affirmed in their Resolution Counterparty ratings (RCR). It is noted that Alpha Bank has already chosen not to be covered by S&P, turning to Scope Ratings to strengthen its European connections. S&P forecasts an average annual GDP growth of 2.2% for Greece during the period 2026-2027, with investment and private consumption being the main drivers of growth. However, it expects a slowdown in growth as funding from the Recovery and Resilience Facility decreases. The agency emphasizes that improvements in the Greek economy are creating favorable conditions for banks, reducing credit risk and enhancing their ability to generate profits. The outlook revision is an indication of confidence in the course of Greek banks and the recovery of the Greek economy.

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