Greece out-of-court mechanism reaches 70,000 debt settlements

Greece’s out-of-court debt restructuring mechanism has reached a total of 69,997 successful settlements, covering original debts amounting to €20.56 billion. In August, 1,364 new successful settlements were recorded, despite the seasonal legal suspension of creditor proposal deadlines.

The approval rate for applications remains high at approximately 71%, a trend attributed to the mandatory participation of creditors. The mechanism has provided significant support to vulnerable households, with 7,855 successful settlements for vulnerable debtors, including 528 for persons with disabilities. Additionally, 627 auction suspensions have been achieved to protect citizen property.

A new tool for the protection of primary residences is set to be activated on Monday, September 21. This measure allows debtors to save their main homes, potentially through the liquidation of secondary assets. The platform currently accepts applications for debts starting from €5,000, offering up to 240 installments for debts to the State and up to 420 installments for bank debts.