May debt settlements through out-of-court mechanism rise 65%

According to data released by the Ministry of National Economy and Finance, 2,205 new debt restructuring agreements were completed in May, covering initial liabilities of €564 million and marking a 65% increase compared with the same month in 2025.

The total amount of debt restructured under the eligibility criteria reached €569 million, highlighting the growing use of the out-of-court debt settlement mechanism by households and businesses seeking sustainable solutions for managing their financial obligations.

Strong Growth in New Applications

The increased activity is also reflected in the number of new applications submitted through the platform. A total of 5,967 applications were initiated, while 3,128 were formally submitted, recording a significant month-on-month increase.

According to the Ministry, the upward trend is directly linked to recent legislative changes that broadened eligibility criteria and expanded the pool of borrowers able to participate in the process. These reforms allow more individuals and professionals to restructure overdue obligations owed to banks, loan servicers, and the state, while helping to safeguard their assets.

More Than 60,000 Successful Restructurings

Since the launch of the electronic platform, a total of 60,395 debt restructuring agreements have been successfully completed, covering initial debts amounting to €18.65 billion.

These figures underscore the out-of-court mechanism’s role as Greece’s primary private debt restructuring tool, with an increasing number of borrowers taking advantage of the solutions it offers.

Support for Vulnerable Households and Persons with Disabilities

The Ministry places particular emphasis on the participation of vulnerable social groups. In May, 10% of new restructuring agreements involved financially vulnerable borrowers and persons with disabilities.

Since the introduction of the relevant legal framework, 560 debtors have secured suspension of enforcement measures, protecting their assets and, in many cases, their primary residence.

The Profile of Non-Performing Loans

According to first-quarter 2026 data published by Greece’s systemic banks, nearly 50% of non-performing loans (NPLs) remain terminated or accelerated, while approximately 15% are already under restructuring arrangements.

These figures indicate that a substantial stock of problematic loans remains within the financial system, underscoring the continued importance of both the out-of-court settlement mechanism and bilateral restructuring agreements between borrowers and creditors.

€205 Million in Bilateral Restructurings in April

Alongside government-supported tools, loan servicing companies continue to play a significant role in private debt restructuring.

According to available data, the four largest servicers in the Greek market—Intrum, Cepal, doValue, and Qquant—completed 2,980 debt restructuring agreements in April 2026, covering a total amount of €205 million.

The majority of these agreements involved mortgage loans, reflecting the ongoing effort to address household debt and gradually normalize portfolios of non-performing loans.