Moody’s confirms Eurobank ratings and raises deposit outlook to positive

Athens, Greece. Moody’s confirmed Eurobank’s Baa1 long-term deposit and senior unsecured debt ratings, while raising the outlook on its deposit ratings to positive from stable. The agency also changed the outlook on the bank’s senior unsecured debt to stable from negative.

Standalone assessment

Moody’s confirmed Eurobank’s standalone Baseline Credit Assessment and adjusted BCA at baa3, according to its latest report, the findings of which were shared by Greek business outlet Newmoney.

The confirmation of the Baa1 deposit and senior unsecured debt ratings reflected the bank’s baa3 standalone assessment and Moody’s view that potential losses in the event of bank failure would be very low, resulting in a two-notch uplift.

Sovereign rating link

The decision followed Moody’s recent move to raise the outlook on Greece’s sovereign rating to positive from stable, while affirming the country’s Baa3 long-term issuer rating.

Moody’s continues to assess the likelihood of direct government support for Eurobank as low, meaning no additional rating uplift was applied on that basis.

Eurobank’s standalone assessment remains constrained by Greece’s Baa3 sovereign rating because of the bank’s exposure to sovereign risk. Moody’s said the positive outlook on Greece’s rating creates upward pressure on Eurobank’s standalone assessment, while sustained solid performance could further strengthen its credit profile.

Profitability and capital

Moody’s said Eurobank’s standalone credit profile was supported by strong and geographically diversified profitability, high asset quality and a healthy capital position.

The bank recorded a 16.6 per cent return on tangible equity in the first half of 2026, according to Moody’s. Profitability was supported by a 13.5 per cent increase in fee and commission income and effective cost control.

Eurobank’s cost-to-income ratio, which measures expenditure required to generate income, stood at about 37 per cent.