Mylonas (NBG): Banking challenges in a changing world

Addressing the challenges facing systemic banks successful the caller epoch — including precocious technology, cybersecurity threats and the emergence of so-called neobanks operating exclusively online — the Chief Executive Officer of National Bank of Greece, Pavlos Mylonas, spoke astatine a luncheon hosted for editors and executives of fiscal quality websites.

“Cybersecurity is, successful my view, the large contented that deserves acold much rigorous attention,” Mylonas stressed, warning that “everything tin beryllium mislaid successful an instant.” He noted, however, that the home banking system has invested much than 2.5 cardinal euros successful precocious technology and artificial quality systems successful bid to respond to intensifying competition.

The CEO of NBG besides referred to Claude Mythos — the caller exemplary developed by Anthropic — which is reportedly susceptible of outperforming humans successful definite hacking and cybersecurity-related tasks, sparking aggravated statement regarding the risks such technologies could airs to integer services.

Mylonas underlined that the National Bank of Greece is already processing and deploying programs that importantly heighten the cybersecurity model of some the instauration and its customers.

NBG information successful a European stablecoin initiative

As portion of the transformation of the fiscal system, the National Bank of Greece is besides readying to enactment successful the Amsterdam-based Qivalis consortium, established by 12 European banking institutions with the nonsubjective of issuing a caller euro-pegged stablecoin.

The consortium already includes, among others, ING, UniCredit, DekaBank, Danske Bank and CaixaBank. The consortium estimates that the European integer currency will alteration accelerated and low-cost payments and settlements, support parity with the euro, and beryllium launched successful the marketplace during the 2nd fractional of the year.

The statement by the CEO of the National Bank of Greece signals that the systemic fiscal assemblage is gradually shifting its stance toward integer currencies, which are designed — astatine slightest successful theory — to support stable value while being backed by traditional currencies such arsenic the euro and the US dollar.

Mylonas besides referred to the increasing beingness of caller integer players such as Revolut, which already has astir 1 cardinal customers successful Greece, chiefly younger users.

National Bank – Allianz partnership

The CEO of NBG was besides asked astir the bank’s concern with Allianz, successful which the slope has acquired a 30% stake.

Mylonas estimated that, implicit the agelong term, the concern is expected to make profits of astir 80 cardinal euros. The acquisition process is anticipated to beryllium formally completed within the adjacent 10-15 days. He besides expressed assurance that the concern would not lone importantly summation insurance-related revenues, but would besides leverage Allianz’s expertise and precocious integer capabilities.

Opposition to further taxation

Mylonas besides delivered a wide connection to the government, emphasizing that there is nary request for further taxation connected slope profits. As helium stated, the Greek state is signaling a strong fiscal surplus approaching 5 cardinal euros, rendering further taxation of banks unnecessary.

He further argued that immoderate further tax load could negatively impact capitalist sentiment and trigger volatility successful the stock market.

Geopolitical conditions

Mylonas ruled retired aboriginal merger scenarios within the banking assemblage and immoderate simplification successful the fig of Greek banks, stressing that such developments would make superior contention and oligopoly concerns.

He besides repeatedly emphasized the contented of “uncertainty” regarding developments successful the Gulf portion and the continued closure of the Strait of Hormuz. “The Greek system has strong antiaircraft mechanisms and is performing very well, but overmuch will beryllium connected the duration of the situation successful the Gulf,” the CEO of NBG concluded.