After a sharp retreat during the major financial crisis, Greek banks have been steadily expanding their international operations.
According to the Bank of Greece’s Financial Stability Report, their overseas assets have reached €68bn, with banks generating almost one-fifth of their profits abroad.
| International operations of Greek banks First half of 2026 • Figures in €m |
|---|
| Country | Assets | Loans | Non-performing loans | Non-performing loan ratio | Deposits | Branches | Staff |
|---|
| South-eastern Europe | 55,682 | 26,151 | 479 | 1.80% | 44,227 | 310 | 7,510 |
| Bulgaria | 14,599 | 9,828 | 233 | 2.40% | 11,641 | 180 | 3,271 |
| Republic of North Macedonia | 2,589 | 1,916 | 54 | 2.80% | 1,992 | 55 | 969 |
| Cyprus | 38,494 | 14,407 | 192 | 1.30% | 30,594 | 75 | 3,270 |
| Financial centres | 12,049 | 7,685 | 122 | 1.60% | 3,216 | 5 | 270 |
| Germany | 2,714 | 2,520 | 111 | 4.40% | 117 | 1 | 14 |
| United Kingdom | 682 | 576 | 11 | 1.90% | 540 | 1 | 91 |
| Luxembourg | 8,653 | 4,589 | 0 | 0.00% | 2,559 | 3 | 165 |
| Other countries | 217 | 62 | 1 | 1.40% | 186 | 15 | 317 |
| TOTAL | 67,948 | 33,898 | 602 | 1.80% | 47,629 | 330 | 8,097 |
| SOURCE: Bank of Greece | COMPILED BY: Euro2day |
Banks are moving cautiously in markets across the wider region and in financial centres to minimise risk. Cyprus, for example, is a key destination, as a familiar and stable market that accounts for 56.7% of their international assets. Their lending policy in Cyprus is particularly conservative: they have attracted more than €30bn in deposits, while loans remain below €15bn.
Detailed Bank of Greece data for the first half of 2026 show that, although the overall structure of Greek banks’ presence abroad changed little during the period, their steady and targeted expansion continued.
Expansion into new markets
A notable and particularly significant milestone during this period was the official opening of Eurobank’s Representative Office in India. The move points to a growing search for new emerging markets with strong growth prospects beyond traditional European borders.
The assets of subsidiaries and branches maintained abroad by Greek banking groups stood at €67.9bn in June 2026. This represented a notable increase of 4.2% compared with the end of 2025.
These activities are also becoming more significant, with their share of the banking groups’ total consolidated assets rising to 15.4%, from 14.2% in December of the previous year.
Geographical breakdown of the portfolio
An analysis of the geographical breakdown of the international portfolio makes clear that the strategy is based primarily on consolidating positions in familiar markets. South-eastern Europe remains the mainstay of the banks’ international presence, accounting for an overwhelming 81.9% of total international assets, led — alongside Cyprus — by Bulgaria.
Their presence in major European financial centres, including Luxembourg, Germany and the United Kingdom, also remains highly significant. These markets account for 17.7% of international assets, with the lion’s share concentrated in Luxembourg.
South-eastern Europe’s dominance is even more pronounced in deposits, accounting for 92.9% of overseas funds. This reflects the large number of physical branches (service units) and staff in the region.
Growth in profits and lending
The most encouraging finding, vindicating the banks’ return to international markets, is their strong profitability. According to the report, profits from overseas subsidiaries and branches reached €502m in the first half of 2026, up from €476m in the same half of 2025.
Cyprus and Bulgaria were by far the largest contributors to these earnings, accounting for 58% and 28% of international profits, respectively. Overall, pre-tax profits from international operations now account for 17.6% — or almost one-fifth — of the Greek banking groups’ total pre-tax profits.
On lending, the balance of loans (before provisions) reached €33.9bn in June 2026, jumping 10.2% from the end of 2025. Deposits stood at €47.6bn over the same period, up 1.9%. Together, these figures kept the loan-to-deposit ratio at a conservative and safe 71.2%.
Loan portfolio quality
Portfolio quality is considered satisfactory, despite a small increase in non-performing loans to €602m, from €491m, mainly due to corporate lending.
Even so, non-performing loans abroad account for just 1.8% of the total loan portfolio (1.6% for business loans, 1.4% for mortgages and 3.4% for consumer loans), while the banks’ defences are bolstered by a high coverage ratio, with accumulated provisions covering 75.5%.
In conclusion, as the Bank of Greece notes, although short-term prospects may be affected by global geopolitical uncertainty, fluctuations in energy prices and trade tensions, international expansion remains a key strategic pillar.
International operations not only diversify revenue sources but also sharply reduce the risk of relying exclusively on the domestic market, materially strengthening the Greek banking system’s medium-term sustainability and resilience.