From survival to profits and big deals: How 2025 wrote the success story of Greek banks

2025 was a year of significant developments for banks, as they set out on a full return to normality, shaking off every trace of the crisis from their balance sheets and business plans after a decade.

Super profits with high dividends of 50%-60%, resilience of interest income despite the fall in interest rates, strong credit expansion, capital adequacy, significant achievements at a pan-European level in profitability and portfolio consolidation (Greece is among the countries with the lowest non-performing loan ratio and high profit margins, while it also excelled in stress tests) but also continuous upgrades of their investment grade by international rating agencies led to an unprecedented growth of the four systemic banks in a year that was undoubtedly extremely positive for Greek bankers.

Acquisitions that create surplus value for shareholders and the banks’ portfolios have already played an important role.

The return of insurance companies, after a decade, to their portfolios, is also a positive sign with some markets even changing the map of the country’s bancassurance. Another positive development is the dynamic return to the markets, since the bond issues of the four systemic banks exceeded 7 billion euros this year.

All this led to a rally in bank shares on the stock market and to large capitalizations and, of course, is the trigger for a long path of success with international recognition now, since the Greek banking success story goes hand in hand with the success of the Greek economy in international roadshows.

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The forecasts for 2026 are more than positive amid expectations that this trend will continue ahead of the completion of partnerships and acquisitions. Many international rating agencies, in fact, have predicted dividends of more than 50%-60%, a credit expansion rate among the largest in Europe, as well as deals that will be worthy of shaping the map of the European banking union.

It remains to be seen, therefore, whether even larger deals will be made in the bancassurance sector – and not only – whether the strong profitability of banks will be sealed by the 2026 dividends and whether existing partnerships will yield the expected fruits.