EU Authorizes NBG's Restructuring Strategy
During Greece’s recession, NBG was one of the nation’s major banks that was assisted with state aid. The European Commission later studied the Bank’s business plan to determine if it was in accord with EU state aid protocols.
Today, the Commission stated: "The measures already implemented and those envisaged in the future will enable the bank to fully restore its long-term viability, while limiting the distortions of competition brought about by the state aid granted”, as reported by Kathimerini.
The National Bank of Greece has started to reduces wages, close various locations and implement other budget reduction acts. Its restructuring strategy also anticipates the Bank downsizing its share in Turkish financial institution Finansbank.
The European Commission determined that NBG does not need to downsize its banking procedures. The EC added, "The injected state aid did not bail out historical shareholders who have been almost completely diluted”.