Speaking in a parliamentary committee hearing on the proposed reappointment of Ioannis Stournaras as Governor of the Bank of Greece, Finance Minister Kyriakos Pierrakakis said Greece's strategy of early debt repayments has removed the debt risk once associated with 2032 and argued that additional taxes on banks would weaken capital build-up, limit lending and send a negative signal to markets after the country regained investment grade. Under the European expenditure rule, only EUR 1 billion of the extra EUR 2.9 billion generated by the increase in the surplus from 3.7% to 4.9% could be spent, and EUR 800 million has already been used for social support. On debt, he said deferred interest on the Greek Loan Facility had previously implied a EUR 25 billion to EUR 30 billion cost in 2032, but the debt management agency has spread that amount over 20 years, reducing the implied annual burden to about EUR 1.5 billion. Early repayments of EUR 26.5 billion save about EUR 30 million a year for each EUR 1 billion repaid, or roughly EUR 800 million annually so far, with further repayments intended to offset the remaining post-2032 cost. On banks, he cited Bank of Greece data for 2025 showing operating income up 0.5%, net interest income down 15% and net operating results down about EUR 247 million, while pre-tax profit rose from EUR 5.44 billion to EUR 5.82 billion mainly because credit risk provisions and other losses fell. He also said the government had already intervened on bank charges in 2025 and would do so again if needed.
Ministry of National Economy and Finance (Greece)2026-05-25
Greece's Ministry of National Economy and Finance says early debt repayments have removed 2032 debt risk and opposes additional bank taxation
Greece’s Finance Minister told parliament that early debt repayments and restructuring of deferred interest have removed the concentrated 2032 debt risk by spreading costs over 20 years and generating about EUR 800 million in annual interest savings. He said the European expenditure rule limits use of the higher fiscal surplus and argued that additional bank taxes would weaken capital, constrain lending and undermine market confidence, while noting the government has already acted on bank charges and stands ready to intervene again.