How much do the Greeks owe?

After a decade of economic crisis, a pandemic and the shock of the energy crisis, debts owed to the tax authorities by Greek citizens have skyrocketed.

The total amount of debts is 105 billion euros, debts to insurance funds exceeded 47 billion euros. At the same time, the “red” loans available to banks are estimated at approximately 12 billion euros, loans to servicers amount to 91 billion euros, and unpaid electricity bills exceed 1.2 billion euros.

This €256 billion represents private debt of households and businesses, and if we add €135 billion in green loans, we are faced with a mountain of €391 billion, higher than the public debt estimated at €357 billion.

In order to stop or prevent the emergence of new debts, according to the authorities? a comprehensive review of the situation is necessary. Created for this Private Debt Monitoring Registerwho takes the initiative after signing the corresponding joint ministerial decision.

What data will the registry collect?

• data on debt to the state and other public sector entities
• data on debt to banks and funds
• data on debt to any type of business, regardless of organizational and legal form.

The registry is not going to play the role of “collectors”, that is, “pushing” the insolvent. But with the help of special software it will receive and process data from credit institutions (banks, services) received in anonymous form.

What will be examined under the “microscope”

• nature of debt
• basic terms of the debt (such as the original and current amount), penalties and interest, repayment terms, interest rate and any changes thereto
• debt securities and their valuation
• payments made, payment times and current debt balance
• debt agreements
• information on the progress of legal disputes between the debtor and creditors, administrative or executive measures taken, as well as the progress of their judicial appeal
• for individuals: personal data (age, place of primary residence and work and professional status)
• for legal entities: information defining the industry of activity and location of the legal entity.

“Red” loans
According to the latest report from the Bank of Greece, the size of “red” loans fell to 7.9%. However, it remains higher than the eurozone average (2.3%). Of this amount of 11.7 billion euros, 66% are business loans, 25% housing and 9% consumer loans.

Source link