Bond EurBank SA 2% ( XS1855456106 ) in EUR

EurBank SA

100 % ⇌

Greece

XS1855456106 ( in EUR )

2% per year ( payment 1 time a year)

20/03/2026 - Bond has expired

Prospectus brochure of the bond Eurobank S.A XS1855456106 in EUR 2%, expired

1 000 EUR

350 000 000 EUR

Eurobank Ergasias is a major Greek banking group offering a wide range of financial services including retail, corporate, and investment banking, with operations primarily in Greece and internationally through subsidiaries and branches.

The Bond issued by EurBank SA ( Greece ) , in EUR, with the ISIN code XS1855456106, pays a coupon of 2% per year.
The coupons are paid 1 time per year and the Bond maturity is 20/03/2026

BASE PROSPECTUS

EUROBANK S.A.
(incorporated with limited liability in the Hellenic Republic with registration number
154558160000)
5 bil ion Global Covered Bond Programme
Under this 5 billion global covered bond programme (the Programme), Eurobank S.A. (the Issuer
or Eurobank) (which entity following a demerger acquired all the assets and liabilities of Eurobank
Ergasias S.A., (see "Demerger" below)) may from time to time issue bonds (the Covered Bonds)
denominated in any currency agreed between the Issuer and the relevant Dealer(s) (as defined below).
Application has been made to the Luxembourg Stock Exchange to approve this document as a base
prospectus (Base Prospectus) pursuant to Part IV of the Luxembourg act dated 16 July 2019 on
prospectuses for securities for the purpose of admitting Covered Bonds on the Euro MTF market of
the Luxembourg Stock Exchange (Euro MTF) and to be valid for a period of 12 months from the date
of its approval.
Application has also been made to the Luxembourg Stock Exchange for Covered Bonds issued under
the Programme to be admitted to trading on the Luxembourg Stock Exchange's Euro MTF market and
to be listed on the official list of the Luxembourg Stock Exchange (the Official List). This document
comprises a base prospectus is not a base prospectus for the purposes of Section 12(a)(2) or any other
provision of or rule under the United States Securities Act of 1933 (as amended) (the Securities Act).
References in this Base Prospectus to Covered Bonds being listed and all related references shall mean
that such Covered Bonds are intended to be admitted to trading on the Luxembourg Stock Exchange's
Euro MTF market and are intended to be listed on the official list of the Luxembourg Stock
Exchange's Euro MTF market for the purposes of Directive 2014/65/EU (the MiFID II).
The Programme also permits Covered Bonds to be issued on the basis that they may be admitted to
listing, trading and/or quotation on such other stock exchange or stock exchanges as may be agreed
between the relevant Issuer and the relevant Dealer. Covered Bonds may be unlisted or may be listed
or admitted to trading, as the case may be, on other stock exchanges or markets agreed between the
Issuer, the Trustee and the relevant Dealer(s) in relation to each issue. The Final Terms relating to
each Tranche of the Covered Bonds will state whether or not the Covered Bonds are to be listed and/or
admitted to trading and, if so, on which other stock exchanges or markets as may be agreed with the
Issuer.
The maximum aggregate nominal amount of all Covered Bonds from time to time outstanding under
the Programme will not exceed 5 billion (or its equivalent in other currencies calculated as described
herein). The payment of all amounts due in respect of the Covered Bonds will constitute direct and
unconditional obligations of the Issuer, having recourse to assets forming part of the cover pool (the
Cover Pool).
The Covered Bonds may be issued on a continuing basis to one or more of the Dealers specified under
"General Description of the Programme" and any additional Dealer appointed under the Programme
from time to time, which appointment may be for a specific issue or on an ongoing basis (each a
Dealer and together the Dealers). References in this Base Prospectus to the relevant Dealer shall, in
the case of an issue of Covered Bonds being (or intended to be) subscribed by more than one Dealer,
be to the lead manager of such issue and, in relation to an issue of Covered Bonds subscribed by one
Dealer, be to such Dealer.
The price and amount of Covered Bonds to be issued under the Programme will be determined by the
Issuer and each relevant Dealer at the time of issue in accordance with prevailing market conditions.
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Notice of the aggregate nominal amount of Covered Bonds, interest (if any) payable in respect of
Covered Bonds, the issue price of Covered Bonds and any other terms and conditions not contained
herein which are applicable to each Series or Tranche (as defined under "Terms and Conditions of the
Covered Bonds") of Covered Bonds will be set out in a separate document specific to that Series or
Tranche called the final terms (each, a Final Terms) which, with respect to Covered Bonds to be
listed on the Official List and admitted to trading on the Luxembourg Stock Exchange's Euro MTF
market, will be delivered to the Luxembourg Stock Exchange on or before the date of issue of such
Series or Tranche of Covered Bonds.
The rating of certain Series of Covered Bonds to be issued under the Programme may be specified in
the applicable Final Terms as assigned by Moody's Investors Service Limited or its successors
(Moody's). Moody's is established in the European Union and is registered under Regulation (EC)
No. 1060/2009 (as amended) (the CRA Regulation). As such, Moody's is included in the list of credit
rating agencies published by the European Securities and Markets Authority on its website (at
http://www.esma.europa.eu/page/List-registered-and-certified-CRAs) in accordance with the CRA
Regulation. A security rating is not a recommendation to buy, sell or hold securities and may be
subject to suspension, change or withdrawal at any time by the assigning rating organisation. Investing
in Covered Bonds issued under the Programme involves certain risks. The principal risk factors that
may affect the ability of the Issuer to fulfil its obligations in respect of the Covered Bonds are
discussed under "Risk Factors" below.
Arranger
Eurobank S.A.
Dealer
Eurobank S.A.
The date of this Base Prospectus is 29th January 2021.
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This Base Prospectus does not comprise a base prospectus for the purposes of Article 8 of Regulation
(EU) 2017/1129 (as amended, the Prospectus Regulation).
This Base Prospectus comprises a base prospectus for the purposes of Part IV of the Luxembourg act
dated 16 July 2019 on prospectuses for securities.
The Issuer accepts responsibility for the information contained in this Base Prospectus and the Final
Terms and for each Tranche of the Covered Bonds issued under the Programme and declares that,
having taken all reasonable care to ensure that such is the case, the information contained in this Base
Prospectus is, to the best of its knowledge, in accordance with the facts and contains no omission
likely to affect its import.
For a period of 12 months following the date of this Base Prospectus, copies of each Final Terms (in
the case of Covered Bonds to be admitted to trading on the Euro MTF market of the Luxembourg
Stock Exchange) and the Base Prospectus will be available free of charge from the registered office of
the Issuer and from the specified office of the Paying Agents for the time being in London or in
Luxembourg at the office of the Luxembourg Listing Agent.
This Base Prospectus is to be read in conjunction with all documents which are deemed to be
incorporated herein by reference (see the section entitled "Documents Incorporated by Reference"
below). This Base Prospectus shall be read and construed on the basis that such documents are so
incorporated and form part of this Base Prospectus. Any websites included in this Base Prospectus are
for information purposes only and shall not be incorporated by reference in and do not form part of
this Base Prospectus.
Each Series (as defined herein) of Covered Bonds may be issued without the prior consent of the
holders of any outstanding Covered Bonds (the Covered Bondholders) subject to the terms and
conditions set out herein under "Terms and Conditions of the Covered Bonds" (the Conditions) as
completed by the Final Terms. This Base Prospectus must be read and construed together with any
supplements hereto and with any information incorporated by reference herein and, in relation to any
Series of Covered Bonds which is the subject of Final Terms, must be read and construed together with
the relevant Final Terms. All Covered Bonds will rank pari passu and rateably without any preference
or priority among themselves, irrespective of their Series, except for their respective Issue Dates,
Interest Commencement Dates and/or Issue Prices.
The Issuer confirmed to the Dealers named under "General Information" below that this Base
Prospectus contains all information which is (in the context of the Programme, the issue, offering and
sale of the Covered Bonds) material; that such information is true and accurate in all material respects
and is not misleading in any material respect; that any opinions, predictions or intentions expressed
herein are honestly held or made and are not misleading in any material respect; that this Base
Prospectus does not omit to state any material fact necessary to make such information, opinions,
predictions or intentions (in the context of the Programme, the issue and the offering and sale of the
Covered Bonds) not misleading in any material respect; and that all proper enquiries have been made
to verify the foregoing.
No person has been authorised to give any information or to make any representation not contained in
or not consistent with this Base Prospectus or any other document entered into in relation to the
Programme or any information supplied by the Issuer or such other information as is in the public
domain and, if given or made, such information or representation should not be relied upon as having
been authorised by the Issuer or any Dealer or any Arranger.
Neither the Dealer(s) nor any Arranger nor any of their respective affiliates have authorised the whole
or any part of this Base Prospectus and none of them makes any representation or warranty or accepts
any responsibility as to the accuracy or completeness of the information contained in this Base
Prospectus. Neither the delivery of this Base Prospectus or any Final Terms nor the offering, sale or
delivery of any Covered Bond shall, in any circumstances, create any implication that the information
contained in this Base Prospectus is true subsequent to the date hereof or the date upon which this
Base Prospectus has been most recently supplemented or that there has been no adverse change, or any
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event reasonably likely to involve any adverse change, in the prospects or financial or trading position
of the Issuer since the date thereof or, if later, the date upon which this Base Prospectus has been most
recently supplemented, or that any other information supplied in connection with the Programme is
correct at any time subsequent to the date on which it is supplied or, if different, the date indicated in
the document containing the same.
The distribution of this Base Prospectus and any Final Terms and the offering, sale and delivery of the
Covered Bonds in certain jurisdictions may be restricted by law. Persons into whose possession this
Base Prospectus or any Final Terms comes are required by the Issuer, any Arranger(s) and any Dealers
to inform themselves about and to observe any such restrictions. For a description of certain
restrictions on offers, sales and deliveries of Covered Bonds and on the distribution of this Base
Prospectus or any Final Terms and other offering material relating to the Covered Bonds, see
"Subscription and Sale". In particular, Covered Bonds have not been and will not be registered under
the United States Securities Act of 1933 (as amended) (the Securities Act) and are subject to U.S. tax
law requirements. Subject to certain exceptions, Covered Bonds may not be offered, sold or delivered
within the United States or to U.S. persons. Covered Bonds may be offered and sold outside the United
States in reliance on Regulation S under the Securities Act (Regulation S).
PRIIPs / IMPORTANT EEA AND UK RETAIL INVESTORS If the Final Terms in respect of
any Covered Bonds includes a legend entitled "Prohibition of Sales to EEA and UK Retail Investors",
the Covered Bonds are not intended to be offered, sold or otherwise made available to and should not
be offered, sold or otherwise made available to any retail investor in the European Economic Area
(EEA) or in the United Kingdom (UK). For these purposes, a retail investor means a person who is
one (or more) of: (i) a retail client as defined in point (11) of Article 4(1) of Directive 2014/65/EU (as
amended, MiFID II) or (ii) a customer within the meaning of Directive (EU) 2016/97 (as amended,
the Insurance Distribution Directive), where that customer would not qualify as a professional client
as defined in point (10) of Article 4(1) of MiFID II. Consequently no key information document
required by Regulation (EU) No 1286/2014 (as amended the PRIIPs Regulation) for offering or
selling the Covered Bonds or otherwise making them available to retail investors in the EEA or the
UK has been prepared and therefore offering or selling the Covered Bonds or otherwise making them
available to any retail investor in the EEA or the UK may be unlawful under the PRIIPs Regulation.
MiFID II PRODUCT GOVERNANCE / TARGET MARKET The Final Terms in respect of any
Covered Bonds may include a legend entitled "MiFID II Product Governance" which will outline the
target market assessment in respect of the Covered Bonds and which channels for distribution of the
Covered Bonds are appropriate. Any person subsequently offering, selling or recommending the
Covered Bonds (a "distributor") should take into consideration the target market assessment; however,
a distributor subject to MiFID II is responsible for undertaking its own target market assessment in
respect of the Covered Bonds (by either adopting or refining the target market assessment) and
determining appropriate distribution channels.
A determination will be made in relation to each issue about whether, for the purpose of the MiFID
Product Governance rules under EU Delegated Directive 2017/593 (the "MiFID Product
Governance Rules"), any Dealer subscribing for any Covered Bonds is a manufacturer in respect of
such Covered Bonds, but otherwise neither the Dealers nor any of their respective affiliates will be a
manufacturer for the purpose of the MIFID Product Governance Rules.
Neither this Base Prospectus nor any Final Terms constitutes an offer or an invitation to subscribe for
or purchase any Covered Bonds and should not be considered as a recommendation by the Issuer, any
Arranger(s), any Dealer(s) or any of them that any recipient of this Base Prospectus or any Final Terms
should subscribe for or purchase any Covered Bonds. Each recipient of this Base Prospectus or any
Final Terms shall be taken to have made its own investigation and appraisal of the condition (financial
or otherwise) of the Issuer.
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The maximum aggregate principal amount of Covered Bonds outstanding at any one time under the
Programme will not exceed 5 billion (and for this purpose, the principal amount outstanding of any
Covered Bonds denominated in another currency shall be converted into euro at the date of the
agreement to issue such Covered Bonds (calculated in accordance with the provisions of the
Programme Agreement)). The maximum aggregate principal amount of Covered Bonds which may be
outstanding at any one time under the Programme may be increased from time to time, subject to
compliance with the relevant provisions of the Programme Agreement as defined under "Subscription
and Sale".
In this Base Prospectus, unless otherwise specified, references to a Member State are references to a
Member State of the European Economic Area, references to , EUR or euro are to the currency
introduced at the start of the third stage of European economic and monetary union pursuant to the
Treaty establishing the European Community (as amended) and references to Swiss francs or CHF
are to the lawful currency for the time being of Switzerland.
In this Base Prospectus, all references to Greece, to the Greek State are to the Hellenic Republic and
all references to the UK are to the United Kingdom and references to £ or Sterling are to the lawful
currency for the time being of the United Kingdom.
.
In connection with the issue of any Series of Covered Bonds, the Dealer or Dealers (if any)
named the Stabilising Manager(s) (or persons acting on behalf of any Stabilising Manager(s)) in
the applicable Final Terms, may over al ot Covered Bonds or effect transactions with a view to
supporting the market price of the Covered Bonds at a level higher than that which might
otherwise prevail. However, stabilisation may not necessarily occur. Any stabilisation action
may begin on or after the date on which adequate public disclosure of the terms of the offer of
the relevant Series of Covered Bonds is made and, if begun, may be ended at any time, but it
must end no later than the earlier of 30 days after the issue date of the relevant Series of
Covered Bonds and 60 days after the date of the allotment of the relevant Tranche of Covered
Bonds. Any stabilisation or over allotment must be conducted by the relevant Stabilising
Manager(s) (or person(s) acting on behalf of any Stabilising Manager(s)) in accordance with al
applicable laws and rules.

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TABLE OF CONTENTS

THE DEMERGER ....................................................................................................................................... 2
RISK FACTORS .......................................................................................................................................... 4
GENERAL DESCRIPTION OF THE PROGRAMME.......................................................................... 45
PRINCIPAL PARTIES .............................................................................................................................. 45
PROGRAMME DESCRIPTION .............................................................................................................. 47
DOCUMENTS INCORPORATED BY REFERENCE........................................................................... 67
TERMS AND CONDITIONS OF THE COVERED BONDS ................................................................ 74
FORMS OF THE COVERED BONDS .................................................................................................. 115
FORM OF FINAL TERMS ..................................................................................................................... 119
INSOLVENCY OF THE ISSUER .......................................................................................................... 130
USE OF PROCEEDS ............................................................................................................................... 131
OVERVIEW OF THE GREEK COVERED BOND LEGISLATION ................................................ 132
EUROBANK S.A. ..................................................................................................................................... 135
REGULATION AND SUPERVISION OF BANKS IN THE HELLENIC REPUBLIC . .................. 163
ECONOMIC OVERVIEW ...................................................................................................................... 173
RISK MANAGEMENT ........................................................................................................................... 179
THE MORTGAGE AND HOUSING MARKET IN GREECE ........................................................... 181
DESCRIPTION OF THE TRANSACTION DOCUMENTS ............................................................... 205
TAXATION............................................................................................................................................... 228
SUBSCRIPTION AND SALE ................................................................................................................. 232
GENERAL INFORMATION .................................................................................................................. 236

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THE DEMERGER
On 20 March 2020, the core banking operations of the former Eurobank Ergasias S.A. were
demerged. As part of the demerger:
· the former Eurobank Ergasias S.A. was renamed Eurobank Services and Holdings S.A.
(Eurobank Holdings) on 23 March 2020;
· a new wholly-owned banking subsidiary of Eurobank Holdings, Eurobank S.A. (the Issuer), was
established;
· the Issuer assumed, by operation of universal succession under Greek law, all of the assets and
liabilities of the core banking operations of the former Eurobank Ergasias S.A.; and
· Eurobank Holdings became the holding company for the 88 companies that, together with
Eurobank Holdings, as at 30 September 2020 comprised the "Group".
In this disclosure, references to the Issuer should, for any period prior to 20 March 2020, be read as
construed as references to the banking activities of the former Eurobank Ergasias S.A. and references
to the Group should, for any period prior to 20 March 2020, be read as construed as references to the
former Eurobank Ergasias S.A. and its consolidated entities.
The demerger was part of a major transformation designed to achieve:
· the legal separation of the Issuer that will allow its management to focus on core banking
activities;
· a significant balance sheet de-risking through the securitisation of non-performing exposures
(NPEs), while retaining those that the Issuer believes have better recovery and curing potential;
and
· accelerated reduction of NPEs, as evidenced by the Group having achieved an NPE ratio of 14.9
per cent. as at 30 September 2020 (compared to an NPE ratio of 31.1 per cent. as at 30 September
2019) and paving the way for a single digit NPE ratio by 2022.
On 18 November 2020, Eurobank Holdings published its interim consolidated financial statements for
the nine months ended 30 September 2020 . The demerger of the core banking operations of the
former Eurobank Ergasias S.A. (including its subsidiaries and associates) constitutes a common
control transaction that involves the set-up of a new company, which is neither the acquirer, nor a
business and therefore it is not a business combination as defined by IFRS 3 `Business Combinations'.
As IFRS 3 guidance did not apply to the demerger, it has been accounted for as a capital re-
organisation of the transferred business on the basis that no substantive economic change has
occurred. In line with the Group's accounting policy for business combinations that involve the
formation of a new entity in the case of a capital reorganisation, the acquiring entity (in this case the
Issuer) incorporated the assets and liabilities of the acquired entity (in this case the banking sector
transferred from the former Eurobank Ergasias S.A.) at their carrying amounts, as presented in the
books of that acquired entity. The capital reorganisation did not have any impact on the Group's
consolidated financial statements.
In the separate financial statements of Eurobank Holdings included in the Group's interim
consolidated financial statements for the six months ended 30 June 2020 Interim Financial Statements,
the assets and liabilities of the business transferred (including investments in subsidiaries and
associates) to the Issuer were derecognised and the investment in the Issuer was recognised at cost,
which is the carrying value of the net assets given up. The Issuer incorporated the assets and liabilities
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of the business transferred to it at their pre-combination carrying amounts with a corresponding
increase in share capital. Pre-existing valuation reserves under IFRS that were transferred to the Issuer
were separately recognised in the Issuer's total equity.
As part of the demerger, Eurobank Holdings maintained activities and assets that are not related to the
core banking operations but are mainly related to the strategic planning of the administration of non-
performing loans and the provision of services to other Group companies and third parties. Further,
Eurobank Holdings retained significant interests in certain securities and certain entities. For any
assets or liabilities that could not be transferred, Eurobank Holdings will collect or liquidate the assets
in accordance with the Issuer's instructions and the Issuer has agreed to indemnify Eurobank Holdings
for the settlement of the liabilities including any associated costs or losses.
Further information relating to the de-merger and the associated transformation can be found under
"Eurobank S.A.--Corporate transformation demerger and NPEs reduction acceleration plan" and in
note 31 to the Group's Interim Financial Statements for the nine months ended 30 September 2020.

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RISK FACTORS
In purchasing Covered Bonds, investors assume the risk that the Issuer may become insolvent or
otherwise be unable to make all payments due in respect of the Covered Bonds. There is a wide range
of factors, which individually or together could result in the Issuer becoming unable to make all
payments due in respect of the Covered Bonds. It is not possible to identify all such factors or to
determine which factors are most likely to occur, as the Issuer may not be aware of all relevant factors
and certain factors which it currently deems not to be material may become material as a result of the
occurrence of events outside the Issuer's control. The Issuer has identified in this Base Prospectus a
number of factors which could materially adversely affect its business and ability to make payments
due under the Covered Bonds.
The Issuer believes that the risks described below are the material risks inherent in the transaction for
Covered Bondholders, but the Issuer does not represent that the statements below regarding the risks
relating to the Covered Bonds are exhaustive. Additional risks or uncertainties not presently known to
the Issuer or that the Issuer currently considers immaterial may also have an adverse effect on the
Issuer's ability to pay interest, principal or other amounts in respect of the Covered Bonds.
Prospective Covered Bondholders should read the detailed information set out in this document and
reach their own views, together with their own professional advisers, prior to making any investment
decision.
In addition, factors which are material for the purpose of assessing the market risks associated with
Covered Bonds issued under the Programme are also described below.
Prospective investors should also read the detailed information set out elsewhere in this Base
Prospectus and reach their own views prior to making an investment decision. Words and expressions
defined in the "Terms and Conditions of the Covered Bonds" below or elsewhere in this Prospectus
have the same meanings in this section. Investing in the Covered Bonds involves certain risks.
Prospective investors should consider, among other things, the following.
Unless otherwise specified, references in this Base Prospectus to the "Group" are to Eurobank
Holdings and its consolidated entities.
Factors that may affect the Issuer's ability to fulfil its obligations under instruments issued
under the Programme
The Group's business is significantly affected by macroeconomic and financial developments,
particularly in Greece
The Issuer is the most significant operating member of the Group and one of the systemic banks
operating in Greece. the Issuer's business, operating results, financial condition and prospects are in
various ways exposed to the economic and financial performance, creditworthiness, prospects and
economic outlook of companies and individuals operating in Greece or with a significant economic
exposure to the Greek economy. For example, the Issuer's business activities depend on the level of
demand for banking, finance and financial products and services, as well as on its customers' capacity
to service their obligations, or maintain or increase their demand for the Issuer's services. Customer
demand and their ability to service their liabilities depend considerably on their overall economic
confidence, business prospects or employment status, Greece's fiscal situation, investment and
procurement by the government and municipalities, and the general availability of liquidity and
funding at a reasonable cost.
The Issuer operates mainly in Greece and its operations comprise the majority of the Group's business.
For example, in the nine month period ended 30 September 2020 the Group's Greek operations
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accounted for 77 per cent. of its operating income and 73 per cent. of its net interest income. In
addition, as per the Group's Interim Financial Statements, the Group holds:
·
Greek government bonds and treasury bills (which had a book value of 2,045 million as at 30
September 2020 and comprised 3 per cent. of the Group's assets and 23 per cent. of its
investment portfolio as at the same date);
·
financial derivatives with the Greek State (which had a book value of 1,644 million as at 30
September 2020); and
·
financial guarantees and other claims with the Greek State (which had a book value of 198
million as at 30 September 2020).
Furthermore, pursuant to Law 4649/2019, on 25 February 2020, Eurobank submitted to the
Ministry of Finance two applications for opting-in to the Hellenic Asset Protection Scheme
("HERCULES") of the Cairo I and Cairo II securitisations and on 15 May 2020 of the Cairo III
securitization, which were approved on 23 July 2020. For additional information please refer to
notes 15 & 24 of Eurobank Holdings consolidated interim financial statements for the nine
months ended 30 September 2020.
As a result, the Group's business, operating results, asset quality and general financial condition are
directly and significantly affected by macroeconomic conditions and financial developments in
Greece.
According to the Hellenic Statistical Authority, real GDP in Greece decreased by 26.4 per cent. during
the period 2008-2016, based on the European System of Accounts methodology (ESA 2010).
Negative macroeconomic developments in Greece following the financial crisis had a severe adverse
effect on the Greek banking system, particularly affecting Greek banks' capital ratios (through
significant losses incurred, particularly driven by significant write downs of the value of Greek
government debt holdings and high levels of NPEs) and constraining Greek banks' liquidity.
Reflecting the impact of the financial crisis, the number of credit institutions in Greece fell from 19 in
November 2009 to nine currently.
In addition to their effect on the Group's operations in Greece, the adverse macroeconomic and
financial developments in Greece since the global financial crisis also had a material adverse effect on
the Group's reputation, its competitive position as against international banks and deposits in the
Group's international operations.
More recently, as the outbreak of COVID-19 escalated into a global pandemic in the first quarter of
2020, market volatility reached levels not seen since the most recent global financial crisis. Global
economic indicators deteriorated rapidly as various measures, including large-scale restrictions on
movement, were implemented around the world to contain the spread of COVID-19. In Greece, the
latest economic data indicates that seasonally adjusted real GDP in the first, second and third quarters
of 2020 declined by 0.4 per cent. and 14.2 per cent. and 11.7 per cent., respectively, against the same
quarters in 2019 and by 0.1 per cent. and 14.1 percent., and 2.3 per cent., respectively, when compared
to the immediately preceding quarter. The adverse effects on the Greek economy due to COVID-19
included, in particular: (i) lower private consumption as a result of the two lockdowns during 2020,
(ii) lower tourism revenues due to restrictions on movement both within Greece and internationally,
(iii) reductions in demand for the manufacturing sector's products, (iv) disruptions in the
manufacturing sector's supply chains and (v) a decrease in shipping activity due to a decline in global
trade.
The European Commission (the EC), in its 2020 Autumn forecasts (November 2020) estimated a 9.0
per cent. fall in real GDP in Greece in 2020 and a recovery of 5.0 per cent. and 3.5 per cent. in 2021
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