Economy
June 6, 2024
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Greek Banks Resume Dividend Payments After 16-Year Hiatus
Greek banks have received approval from the European Central Bank to resume dividend payments after a 16-year hiatus following the 2008 debt crisis.
The European Central Bank (ECB) has given Greek banks the green light to resume dividend payments to shareholders for the first time since the 2008 debt crisis. This move signifies the banks' recovery and improved financial health after years of restrictions due to the crisis and subsequent European support.
Alpha Services and Holdings, one of the major Greek banks, has announced a payout of 122 million euros from its 2023 profit, half in cash dividends and half through share buybacks. The bank's CEO sees this as a return to normalcy after the financial turmoil.
Other major Greek banks, including Piraeus Financial Holdings and Eurobank Ergasias Services and Holdings, have also received approval to reward their shareholders with dividends. The exact amounts to be distributed are yet to be announced by National Bank of Greece.
The resumption of dividend payments, subject to shareholder approval in upcoming summer meetings, is a positive sign for the Greek banking sector and the country's economic recovery.
