National Bank of Greece (Cyprus) is strengthening its presence in the market with an emphasis on quality business financing, international activity and a focus on financing the real economy.
The Chief Business Officer of National Bank of Greece (Cyprus), Michalis Athanasiou, spoke to InBusinessNews about the Bank's growth strategy, international operations and the importance of a disciplined lending policy.
How do you interpret the Bank's performance in new borrowing for 2025?
The increase in our financing activity in 2025 reflects the Bank's strategic choice to selectively support businesses and investment projects with strong fundamental characteristics, both in Cyprus and internationally.
The key factors driving this momentum are that in recent years we have invested substantially in strengthening our relationships with the business community, and also that the Bank itself has invested significantly in creating a more flexible and modern corporate banking model at a group level, with an emphasis on speed of decision-making, specialised solutions and cross-border banking services. Cyprus now operates as an international business centre and this requires banking organisations with the ability to support complex international transactions and investment structures with deep know-how.
The growth we are recording is not the result of a change in philosophy – on the contrary, it is based on the strategy we have adopted since the transformation of the Bank a few years ago. It is based on targeted financing, rigorous evaluation and the selection of transactions with qualitative characteristics.
Recently, the International Monetary Fund spoke of limited dynamics in the Cypriot banking system and low willingness to take on credit risk. What is your comment on this?
It is a fact that in recent years the banking system has operated with a greater emphasis on shielding balance sheets, reducing non-performing loans and strengthening capital adequacy. This has inevitably led to a more conservative approach to credit risk-taking.
However, today's environment requires a different approach to credit risk. Financing no longer only concerns traditional sectors, but also new activities such as technology, green transition, digital infrastructure and innovative services. This requires more specialised assessment of business models and greater flexibility on the part of banks.
The aim is not to return to excessive risk-taking, but to transition to a more modern and productive model of bank financing, which will support innovation, entrepreneurship and the long-term competitiveness of the Cypriot economy. At National Bank of Greece (Cyprus), we believe that sustainable credit expansion is based precisely on proper assessment and a long-term relationship of trust with the customer.
Which sectors are experiencing the greatest mobility in lending?
The greatest mobility in lending today comes from sectors that are directly linked to the transformation and upgrading of the Cypriot economy. We observe particularly increased activity in the sectors of infrastructure, energy, tourism, real estate and technological services.
At National Bank of Greece (Cyprus), we see this diversification across sectors as a particularly positive development, as it contributes to the creation of a more resilient and sustainable growth model for the Cypriot economy. Businesses are looking for a partner with expertise, flexibility and the ability to understand more complex needs, and the market today rewards banks that can operate with reliability and offer solutions tailored to the real needs of the customer. This is where, I believe, the National Bank of Greece (Cyprus) differentiates itself substantially.
What will determine the 'day after' in corporate banking?
The future of corporate banking will be determined primarily by three key factors: digital transformation, sustainable financing, and the ability of banks to function more as strategic partners to businesses and less as simple providers of finance.
I believe that the banks that will stand out in the coming years will be those with a strong capital base, experienced teams and the ability to manage more complex transactions. Experience and know-how become even more important in an ever-changing environment.
Cyprus has significant prospects as a business and investment centre and I believe that corporate banking can play an even more essential role in the next phase of economic development.
What is the next step for National Bank of Greece (Cyprus)?
We are continuing with a clear goal of further strengthening our market presence and expanding our activity both in Cyprus and in international operations. We invest in customer experience, digital upgrading and the strengthening of our specialised services in order to respond even more effectively to market demands.
At the same time, we are continuing to develop our cross-border business by leveraging Cyprus' position as an international business hub and the Group's momentum. In parallel, we are investing in our people, in specialisation and in creating a culture that combines financial discipline with innovation and speed of decision-making.
We are moving forward with confidence, a clear strategy and the aim to further consolidate our position as the bank of choice for businesses that want to grow in Cyprus and internationally. Our ambition is clear: to further strengthen our presence in Cyprus and become the bank of first choice for businesses that invest, grow and create the new productive model of the Cypriot economy.
(Source: InBusinessNews)
