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Greek And Cypriot Banks Propel Economic Growth With Aggressive Credit Expansion

Robust Q1 Growth Sets The Stage

Banks in Greece and Cyprus are accelerating lending activity, with total credit expansion projected to approach or exceed €15 billion in 2026. The increase is reinforcing the banking sector’s role in supporting profitability and broader economic growth across the region.

Targeted Lending Initiatives And Sector Performance

According to reports by Greek business outlet Newmoney, banks are increasingly relying on credit expansion to sustain earnings growth as interest rate dynamics shift across Europe. First-quarter results already point to strong momentum in lending activity.

Eurobank has set a target of €3.8 billion in credit expansion this year. National Bank of Greece and Piraeus Bank are each targeting €3 billion, while Alpha Bank aims for €3.5 billion. Smaller lenders are also expanding aggressively, with CrediaBank targeting €1.2 billion and Optima Bank aiming for €1.1 billion.

Notable Banking Results Across Markets

First-quarter results underline the scale of the lending rebound. Banks that have reported Q1 figures recorded cumulative credit expansion of €4.7 billion. Piraeus Bank increased its loan portfolio to €38.6 billion, while net credit expansion reached €1.3 billion across major business segments. At National Bank of Greece, new loan disbursements rose 50%, contributing to net credit expansion of €500 million.

Meanwhile, Eurobank reported a 9.8% increase in net credit expansion to €1.1 billion. In Cyprus, Bank of Cyprus recorded Q1 lending of €829 million, up 9% compared with the end of 2025, while Optima Bank posted a 27% year-on-year increase in loan disbursements to €1 billion.

Sectoral Dynamics And Asset Quality Improvements

A recent report from UBS showed that business lending remained the strongest growth driver in March, increasing 10.9% year-on-year. Consumer lending rose 7.7%, while housing loans increased 1.1%. Asset quality also continued to improve. Non-performing loans declined to 3.3% in Q4 2025, down 30 basis points from the previous quarter, reflecting the sector’s ongoing balance-sheet clean-up.

Despite the strong lending momentum, profitability remained broadly stable in the first quarter. Combined net profits at major banks, including National Bank of Greece, Piraeus Bank, Eurobank, Optima Bank and Bank of Cyprus, totaled €1.12 billion, representing a marginal year-on-year decline of 0.27%.

Profitability And Revenue Breakdown

Profit trends varied across institutions during the quarter. Net profit at National Bank of Greece declined 9.9%, while Piraeus Bank reported a 1.42% decrease. By contrast, Eurobank increased profitability by 5.3%. In Cyprus, Bank of Cyprus reported a 3% increase in profit, while Optima Bank posted a 22% rise. Across the sector, net interest income increased 1.4% to €1.93 billion, although performance differed among individual banks. Fee income recorded stronger growth, rising 20% year-on-year to €590 million.

Long-Term Trends And Strategic Impact

Over the past year, listed banks in Greece and Cyprus generated combined post-tax profits of €5.458 billion, up 15.4% from the previous year. During the same period, net interest income declined 4.2% to €9.307 billion, reflecting pressure from changing rate conditions.

Balance-sheet quality continued to strengthen as non-performing loans fell to €5.7 billion, down 5.2% compared with December 2024. Since March 2016, banks in the two markets have reduced non-performing exposures by an estimated €101.5 billion, equivalent to a cumulative decline of 94.7%.

The sustained improvement in asset quality, combined with expanding loan portfolios, is reinforcing the sector’s role in financing business activity and economic recovery across Greece and Cyprus.


LinkedIn Rolls Out New Verification Tools As Fake Identities Surge Across The Internet

As artificial intelligence makes it easier to fabricate identities, impersonate professionals and spread misinformation online, LinkedIn is moving to strengthen one of the internet’s most important trust layers: identity.

On Wednesday, the Microsoft-owned professional network announced a new set of tools designed to help members prove who they are, allow companies to better manage who is associated with their brand and reduce the risk of fake accounts exploiting the platform’s credibility.

Verification Becomes A Competitive Advantage

The timing is no accident. Impersonation and synthetic identities have become a broader online problem, but the stakes are particularly high on LinkedIn, where careers are built on claims about employment history, credentials, education and experience. A single false profile can distort hiring decisions, open the door to scams and erode confidence in the network itself.

“The backdrop for all this is that faking credibility has never been cheaper or easier than it is today; and conversely, showcasing credibility has never mattered more,” LinkedIn vice president of product Oscar Rodriguez told TechCrunch.

LinkedIn says its existing verification tools have already been used to verify 115 million users and more than 700,000 companies. Rodriguez said the company sees authenticity as a foundational asset for the platform. “We’ve been invested in [verification] because we believe that authenticity will be the single most valuable currency on the internet,” he said.

Colleague Vouches Add A New Layer Of Trust

One of the most notable additions will let members vouch for the experience of colleagues and classmates, past or present. The feature is not intended to function like an endorsement. Instead, it is designed to confirm that a person actually worked or studied where they say they did.

In practical terms, it is a trust signal that says, “I worked with this person during this period,” rather than “I recommend this person.”

To limit abuse, LinkedIn says the person providing the vouch must already have a verified profile, must have been connected to the member for at least a year and must have a secure account with two-factor authentication enabled. That combination is meant to make it harder for attackers to hijack accounts and manufacture false credibility at scale.

Companies Gain More Control Over Brand Associations

LinkedIn is also expanding tools for company page administrators. In some cases, businesses will be able to remove accounts that falsely claim employment from appearing on their page or in related search results.

That matters because fake associations can create reputational confusion for employers and misleading signals for recruiters, clients and investors. If a profile claims a role at a recognizable company, it can gain visibility and legitimacy it has not earned.

Page admins will be able to visit the profile in question and manually remove the false association. LinkedIn is also testing a setting that would require future users attempting to link themselves to a company page to complete workplace verification, such as confirming a work email address.

Importantly, removing a profile from a company page will not alter the member’s own LinkedIn profile. The user will still control their account, but the profile will no longer show a clickable link to the company page and the experience will no longer appear as verified.

Rodriguez said the feature is designed to give members “signals and context” to make better decisions. He also noted that the tool is focused on full-time employees, not contractors or field workers, though those workers may have other ways to confirm legitimate affiliation.

Identity Verification Beyond LinkedIn

LinkedIn is also broadening partnerships that allow members to display verified identities outside its own platform. The company said Truecaller and PeerSpot will join existing partners including Adobe and UserTesting.

In one example, a Truecaller user can add a LinkedIn-verified identity so the recipient sees that signal when the person places a call. It is part of a broader effort to make verification portable, so trust established on LinkedIn can carry into other digital environments.

Why LinkedIn Is Doubling Down

The company’s push reflects a simple but powerful business reality: in a market flooded with automation, credibility becomes a differentiator. For professionals, verification can improve discoverability and engagement. Rodriguez said verified members, on average, receive 50% more post views and 90% more impressions than non-verified profiles.

For LinkedIn, that is more than a product feature. It is a platform strategy. As fake accounts become easier to create and harder to detect, the network that can best prove authenticity may also be the one that sustains the most trust, engagement and value over time.

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