Economics
Greece to Subsidize Mortgage Payments to Tackle Bad Loan Crisis
- Plan would see banks get up to 1 billion euros over five years
- European authorities still need to approve government proposal
This article is for subscribers only.
Greece plans to pump as much as 1 billion euros ($1.1 billion) into its banks over the next five years by subsidizing a part of households’ mortgage repayments.
Under the plan, some households unable to repay their home loans will restructure their debts with the banks, with the state then paying part of the remaining monthly installments, according to three people familiar with plan, who asked not to be named as details still need to be finalized.