Greece: Insolvency Overhaul During Pandemic Triggers Spat

The Greek government's opposition is trying to block new insolvency legislation that it argues would leave vulnerable mortgage holders more exposed to repossession during the pandemic, Yahoo! Finance reported. The conservative government is overhauling its bankruptcy regulations, replacing a protection program for distressed loans on primary homes, which expired in July, with a state subsidy program. The government says the proposed changes would be better targeted and would ease pressure on banks still coping with a mountain of loans left unpaid during years of financial crisis. The overhaul has also received support from Greece’s bailout creditors which control repayment terms for most of the country’s massive national debt and argue that reform is needed to stabilize the banking system. Read more

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