**Private Sector Deposits in Greece Surge During May**
In a significant financial turnaround, private sector deposits in Greece surged by €5.31 billion in May 2026, according to the latest data from the Bank of Greece. This increase marks a complete reversal from the previous month, where a decline of €66 million was recorded in April.
The rise in deposits is indicative of a broader increase in liquidity within the Greek economy. Alongside this surge in private sector deposits, the annual growth rate of total financing for the domestic economy also improved, climbing to 4.6% in May from 3.9% in April. This positive trend reflects a strengthening financial environment, as indicated by the monthly net flow of total banking financing, which stood at €1.64 billion in May, a stark contrast to the negative net flow of €1.08 billion observed in April.
A closer examination of the financing landscape reveals that the general government sector experienced a positive net flow of €329 million in May, up from €135 million in April. The annual growth rate for general government financing also showed improvement, stabilizing at 0.0% compared to a decline of -0.7% in the previous month.
In the private sector, the annual growth rate of total banking financing accelerated to 7.4% in May, up from 6.8% in April. The monthly net flow of financing directed towards the private sector was notably positive, amounting to €1.31 billion, reversing the negative net flow of €1.21 billion recorded in April. Within this sector, financing for businesses was particularly robust, with a positive net flow of €1.28 billion and an annual growth rate that increased to 9.8% from 8.8% in April. Non-financial corporations specifically saw their annual growth rate reach 9.8%, supported by a positive monthly net flow of €427 million.
However, not all segments of the private sector experienced growth. The category encompassing freelancers, farmers, and sole proprietorships faced a slight setback with a negative monthly net flow of €9 million, maintaining an annual growth rate of -2.0%. In contrast, financing for households and private non-profit institutions recorded a positive net flow of €39 million, with the annual growth rate remaining stable at 2.7%.
The overall increase in deposits within the domestic economy was significant, with a positive monthly net flow of €5.06 billion in May, contrasting sharply with the negative flow of €34 million in April. This growth was primarily driven by corporate deposits, which rose by €4.97 billion in May after a decline of €935 million in the previous month. The annual growth rate for business deposits surged to 18.7%, a substantial increase from 10.8% in April. Meanwhile, deposits from households and private non-profit institutions increased by €340 million, maintaining an annual growth rate of 4.1%.
The data reflects a positive shift in the financial landscape of Greece, suggesting a recovery in both private sector confidence and overall economic stability. As the country continues to navigate its economic challenges, these figures may indicate a potential path toward sustained growth and increased financial resilience.