Eureka! Institutional Repository

It is widely accepted that the rate of non-performing loans is often linked to the difficulties of banking systems and to financial crises in both developed and developing countries. In recent years, due to the financial crisis that has hit Greece as a result of the global financial crisis launched by America, the banking system has experienced a high rate of increase in the level of non-performing loans (red loans). The deterioration in credit quality of banks' portfolios may, however, affect the overall performance of banks and jeopardize the financial stability of the entire financial system. The aim of this paper is a review of the banking system, its operations and red loans in the case of Greece. Through the work, we will see the consequences of the red loans and the solutions that exist to resolve them.