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MP stresses importance of public investments for Cyprus

Cypriot MP Christiana Erotokritou stressed the importance of public investments for Cyprus due to the disproportionate immigration and demographic pressures the country is facing and the adverse effects of climate change. 

Erotokritou who is the President of the Cyprus House  Finance and Budget Committee, intervened in Budapest during a meeting of the Inter-Parliamentary Conference on Stability, Economic Coordination and Governance in the European Union.

In her intervention regarding Cyprus, she noted that the country is on a steady path of public debt reduction, maintaining healthy fiscal surpluses, however, it presents a large current account deficit.

She pointed out that the country-specific recommendations of the European Commission for Cyprus highlight the imperative need for full and timely implementation of the Recovery and Resilience Plan to reduce the country’s excessive dependence on oil and accelerate the completion of the necessary reforms and investments.

In this context, Erotokritou said it is important to have public investment for Cyprus due to the disproportionate immigration and demographic pressures the country is facing and the adverse effects of climate change.

Erotokritou stressed that the key challenge is to balance fiscal discipline and sustainable development, ensuring that fiscal responsibility, sustainable development and social cohesion go hand in hand and that the economic governance framework contributes to addressing current and emerging challenges of the EU and shaping a more hopeful future for all European citizens.

Piraeus Bank Reports Robust 2025 Profitability and Strategic Growth

Piraeus Bank reported profitability of €1.1 billion in 2025, with return on tangible equity reaching 16%, excluding extraordinary items. The results reflect continued earnings growth and stronger operating performance as the bank expands lending activity and diversifies revenue sources.

Impressive Profitability In 2025

The bank posted a net profit of €250 million in the fourth quarter of 2025. Net interest income reached €477 million during the quarter, up 1% sequentially, supported by higher loan volumes and stable asset performance. Net interest margin remained at 2.25%, reflecting disciplined balance sheet management amid a changing interest-rate environment.

Solid Fourth Quarter Performance

Fourth-quarter results showed improving momentum, supporting the bank’s annual net interest income target of €1.9 billion. Lending activity contributed to stronger fee generation, with net fee income rising to €206 million, up 23% year over year. Growth was supported by asset management fees, investment banking activity, and bancassurance services.

Diversification Of Income Streams

Fee-based income continued to play a larger role in overall profitability. Net fee income accounted for 29% of total net revenues, reaching €696 million for the year and exceeding the bank’s target of €650 million. The inclusion of Ethniki Asfalistiki in consolidated results also expanded the bank’s service portfolio and supported revenue diversification.

Strategic Moves And Sustainable Growth

CEO Christos Megalou said in an interview that 2025 was shaped by strong execution and strategic expansion. The bank recorded an 11% increase in its loan portfolio, with net credit expansion reaching €4 billion, above annual targets.

With improved asset quality and a growing share of fee-based income, management says the bank is positioned to maintain stable performance as market conditions evolve.

Looking ahead, Piraeus Bank plans to present updated targets at its Capital Markets Day in London on March 5, 2026. The bank currently holds €66 billion in deposits and €14.5 billion in investment funds under management, highlighting its scale within the Greek banking sector.

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