N. Dendias characterizes ‘red’ loans as a ticking time bomb
The Minister of Development noted that troika sent a few days ago, the first observations on the proposal of the Ministry for the ‘red’ loans which had been notified before mid-August.
At his interview to the newspaper Real news, Mr. Dendias stressed the need for “a holistic approach that covers all of the debts of the business” and emphasized that the intention of the government is to protect the primary residence.
Mr. Dendias to a question whether the Code of Conduct of the Bank of Greece for ‘red’ loans can alone solve the issue when they exceed 70 billion, he replied that: “The Code of Ethics of the Bank of Greece is an extremely useful tool in trying to solve a problem –ticking time bomb for the economy. However, regulates relations between banks and their customers – borrowers, not identical necessarily with the legislative matrix of these relations, which will have far wider and binding character”.
Further, he ”stressed the need for “a holistic approach that covers all of the debts of the business” and that “our desire is to protect the primary residence. ‘Besides, a massive wave of auctions I do not think it serves anyone, as it drags in the largest decrease in real estate prices. ”
With regard to trading in Paris he noted that the agenda is about getting back to normal and not a agenda of emergency management, while he stated to be against over-taxation of the property and added that : “I am sure that there will be movement in this direction. We must admit that this can be done in parallel and in conjunction with the general recovery of the economy in order to avoid a “black hole” in government revenue. “