In Greece the interest rate spread between new deposits and loans decreased to 4.31 percentage points.

Local Eye

Jul. 7, 2025

GREECE

Macro/Political:

  • In May 2025, the weighted average interest rate on new deposits and loans decreased to 0.35% and 4.66% respectively. The interest rate spread between new deposits and loans decreased to 4.31 percentage points.
    Source: Bank of Greece

Markets:

  •  NBG has appealed to the Competition Commission about Ethniki Insurance, seeking to protect its customer base following the acquisition of the latter by Piraeus Bank. The appeal will be examined by the regulator independently of the acquisition review process, which is also ongoing.
    Source: Kathimerini
  • During June 2025, the airport’s passenger traffic amounted to 3.45 million, 4.6% higher than June 2024. In the first six months of 2025, the airport’s passenger traffic reached 15.07 million, above the 2024 levels by 7.6%.
    Source:ATHEX

 

  • Public Power Corporation (DEI) showed interest in building one of the five AI giga factories planned to be located in Europe, specifically in West Macedonia, within the framework of the European Commission. The investment is expected to cost between EUR 3–5bn, and the European Union has announced plans to raise a total of EUR 20 billion to establish its own AI infrastructure. The list of interested parties includes companies from the data centre, media, energy sectors, as well as investors.
    Source: Naftemporiki print edition (07 July, pg.5)

 

  • The three major Greek systemic banks are in the process of absorbing their respective holding companies, a move facilitated by a more favourable macroeconomic environment that allows the core banking activities to once again become their primary source of income. During the crisis, the separation of banking and non-banking activities was a strategic necessity, enabling banks to shield their balance sheets from further losses. However, with economic conditions now improving, this structure is no longer essential. Alpha Bank has already completed the merger of its holding company with the bank. Eurobank is currently undergoing the same process, while Piraeus Bank is expected to finalize its merger by December 2025.
    Source: Naftemporiki print edition (07 July, pg.7)

CYPRUS

Macro/Political:

  • In April 2025, the Industrial Turnover Index reached 137,2 units recording an increase of 1.6% (y-o-y). For the period January – April 2025, the index recorded an increase of 4.3% compared to the corresponding period of the previous year.
    Source: CyStat
  • The drilling operation by Exxon Mobil at the “Pegasus” target in Block 10 is expected to be completed today and has been successful, according to Cyprus Energy Minister Giorgos Papanastasiou, who said the discovery will be officially announced on Monday. He also stated that another promising natural gas reservoir was found, adding to Cyprus’s offshore reserves. Discussions are already underway among companies to coordinate the collection of these resources and transport them to Egypt for liquefaction and export.
    Source: Kathimerini