Strong 77% growth in mortgage lending in Q1 2026

At the same time, a new acceleration was also observed in consumer credit, shaping the picture of new retail lending production in the first quarter of 2026. More than 117,000 new loans were disbursed, totaling €1.6 billion, representing an annual increase of 26%.

More specifically, data from the Hellenic Bank Association on new loan disbursements in the first quarter of the year show a very strong 77% increase in mortgage lending, following a sharp 46% rise in 2025. These figures signal a sustained strengthening of the upward cycle after fifteen years of contraction.

At the same time, according to the latest available data from the European Central Bank (ECB), the average interest rate on fixed-rate mortgages of up to five years fell in February 2026 to its lowest level in nine years in Greece (2.95%), making it the fifth cheapest country in the eurozone (average rate 3.37%). Fixed-rate mortgages of up to five years are currently among the most popular choices for borrowers.

Detailed HBA data show 13,756 mortgage loan disbursements, totaling €672.8 million in Q1 2026. The bulk of mortgage lending, amounting to €438 million across 4,860 households, relates to pure bank financing, excluding subsidy schemes. In addition, under the “Spiti Mou II” scheme, 1,791 new mortgages worth €191 million were disbursed, while other subsidised programmes accounted for more than 7,100 loans, with a total value of nearly €43 million.

Lending to small businesses with annual turnover of up to €2.5 million and loan amounts up to €1 million remained broadly stable, recording a marginal 0.6% year-on-year decline, following a significant 10.5% increase in 2025. Nearly eight in ten small businesses in this category that applied for new financing or credit limit increases received loans in Q1 2026, totaling €546 million across 9,132 actual disbursements.

In consumer credit, 94,169 borrowers received loans totaling €385 million, marking a 12% annual increase. In terms of total value, the largest share (€129 million) was granted through bank branch networks to 14,633 borrowers. A nearly twice as large number of borrowers (29,163) received consumer loans via digital banking channels (e-banking), with disbursements reaching approximately €92 million. Loans for the purchase of 8,600 cars and motorcycles exceeded €102 million.

The overall picture reflects not only lending volumes but also the way banks are now engaging with customers. Physical bank branches have evolved into advisory and personalised service centres, while day-to-day transactions are increasingly shifting to digital channels. This new hybrid model combines the speed of technology with human interaction, reshaping the overall customer experience.