On Wednesday afternoon, Fitch upgraded the credit ratings of Eurobank and National Bank of Greece by one notch to BBB from BBB-, assigning a stable outlook to the ratings.
At the same time, it maintained its BBB- rating for Piraeus Bank, upgrading the outlook to positive from stable.
National Bank of Greece
Fitch Ratings attributes the upgrade of the National Bank of Greece primarily to the improvement in the operating environment in Greece, which it now rates at “bbb” from “bbb-.” The agency notes that the resilient growth of the Greek economy, the decline in unemployment, and increased demand for corporate and retail loans are creating favorable prospects for Greek banks.
Regarding National Bank of Greece, Fitch highlights its strong position in the domestic market, the high quality of its portfolio—with a non-performing loan ratio of just 2.5% at the end of March—as well as its strong capital adequacy, with a CET1 ratio of 17.4%, the highest among Greek systemic banks.
At the same time, it forecasts that profitability will remain strong in the coming years, supported by growth in lending, fee income, and a stable deposit base.
Eurobank
In the case of Eurobank as well, the agency attributes the upgrade to the improvement in the operating environment in Greece, as strong economic growth, falling unemployment, and increased demand for business and mortgage loans are creating more favorable prospects for the sector.
Fitch also highlights Eurobank’s strong position in the Greek market and the geographic diversification of its operations in Bulgaria and Cyprus. At the same time, it highlights healthy profitability, an adequate capital base, and improved asset quality, with the non-performing loan ratio having fallen to 2.8% as of the end of March 2026.
The agency estimates that operating profitability will strengthen further during the 2026–2028 period, supported by growth in lending, improved fee income—following the acquisition of an 80% stake in Eurolife FFH—as well as the bank’s stable deposit base and comfortable access to markets.
Piraeus Bank
The agency upgraded the bank’s outlook from stable to positive, while maintaining its long-term credit rating at BBB-.
The agency estimates that Piraeus Bank will complete the resolution of most of its legacy non-performing assets during the 2026–2027 period, while maintaining strong profitability and a CET1 capital ratio of at least 13%.
The bank’s strengthened business profile following the acquisition of Ethniki Insurance also contributes to the positive outlook, as this is expected to significantly expand its bancassurance activities and enhance revenue diversification.
Fitch also notes that Piraeus Bank is benefiting from the improving economic environment in Greece, strong demand for corporate loans, and increased opportunities to generate revenue from fees. At the same time, the non-performing loan ratio has declined to 2.7% as of the end of March 2026, while the agency forecasts further improvement in asset quality and the maintenance of operating profitability at levels above 3.5% of risk-weighted assets during the 2026–2028 period. The rating is also supported by the bank’s stable deposit base and its unimpeded access to markets.