Lawyer Monthly Magazine - February 2020 Edition

Serafim Sotiriadis How is the Non- Performing Loans (NPL) market going to grow in Greece in 2020? What are the opportunities? The Greek NPL Market is considered to be the most promising in Southern Europe, ahead of Italy and Spain within the next upcoming years. The combined non-performing exposures (NPEs) of the four systemic banks in Greece is estimated to be of €105 billion with the largest NPL ratio in the Euro area at 47%. The Greek systemic banks came to an agreement with the ECB Banking Supervision to reduce this exposure by approximately 50% (an amount equal to €43 billion) initially until 2019 granting in the meantime, an extension until December 2020. However, according to banking sources, the Greek Banks will keep on conducting NPL sale processes after December of 2020 as well. Greek loan portfolios have already attracted investors, as the profit rate has been initially estimated between 10-15% IRR, and the first performance “numbers” reflect this initial prediction. The opportunity in the Greek market lies in the huge leeway of profit and this is the reason why Greece has attracted the most reputative investment funds in the world. Can you detail any specific industry-based challenges you are facing now and may do in the near future? In the next 5 years, Greece’s distress market will reach its peak as the transfer of an important percentage of the NPL exposures to investment Reports had shown that 2019 grew to be a positive year for NPL activity in Greece. We speak to Serafim this month where is expands on how the market is going to grow in 2020 and what challenges his jurisdiction is currently facing. Contact: Serafim Sotiriadis Founder Serafim Sotiriadis And Associates 4, Lykavittou Str., Gr-10671 Athens Tel: +30 2103388812 Fax: +30 210 3388813 sotiriadis.s@Ssotiriadis.com www.ssotiriadis.com/En/ 32 WWW.LAWYER-MONTHLY.COM | FEB 2020 An InterviewWith “Our firm encourages every lawyer to take initiative and develop their skills by urging them to take steps forward. “