Out-of-Court Debt Settlement Mechanism Accelerates: 2,055 Agreements Finalized in February
Greece's out-of-court debt settlement mechanism finalized 2,055 agreements in February 2026, demonstrating continued success and expanded debtor protection.Summary
The out-of-court debt settlement mechanism in Greece maintained a strong momentum in February 2026, with 2,055 debt restructuring agreements completed during the month. A significant portion, 605 agreements, were finalized under Law 5193/2025, which broadened the criteria for vulnerability, enhancing protection for debtors. This legislative update has made it easier for individuals and households to resolve their debts.
February also witnessed a surge in new applications, totaling 6,380, indicating sustained public trust in the process. Since its launch, the mechanism has facilitated 55,343 settlements, encompassing an original debt of €17.07 billion, with an impressive approval rate of 78%. Economically vulnerable households are particularly benefiting, with 285 agreements finalized for such debtors in February, including 29 for individuals with disabilities.
Furthermore, bilateral loan restructurings with major financial servicers—Intrum, Cepal, DoValue, and Qquant—remained active, reaching €309 million across 4,705 debtors in January 2026. Data from Greece’s systemic banks at the end of 2025 revealed that nearly half of their non-performing loans (NPLs) were formally classified as defaulted, with approximately 15% currently undergoing active restructuring.
(Source：Athens Times)