The Alpha Bank CEO V. Psaltis speaks at Bloomberg

“We are a deeply rooted relationship bank in the corporate sector and very strong in the affluent space as far as individuals are concerned”.

Vassilios Psaltis, Alpha Bank Group CEO

Alpha Bank: Always ahead

Significant competitive advantages and responsiveness to new challenges.

Partnership with UniCredit

Multiple benefits for customers based in Greece 

Mr Psaltis explained the benefits that the strategic partnership between Alpha Bank and UniCredit brings to corporate clients: 

• Access to the 13 countries where UniCredit operates, with service delivered in Greece. 
• Improved financing options and access to capital markets.
  

At the same time, retail customers benefit from: 

• Quality investment propositions, such as the onemarkets Fund. 
• Insurance products that can provide a stronger safety net after retirement. 
  

Strong presence in Romania

The CEO stressed that the cooperation between the 2 banks is expected to bring significant benefits for customers based in Romania as well, as it leads to the 3rd largest bank in the country based on assets.

A new strategic partnership

In his speech, Mr Psaltis also referred to the new strategic partnership agreement between: 

• Alpha Finance, the brokerage arm of Alpha Bank Group
• Kepler Cheuvreux, a French company which is the largest independent broker in Europe 
  

The partnership was officially announced on 18.11.2024 and covers the European and Greek equity markets. It is part of the broader agreement with UniCredit, which is a shareholder in Kepler Cheuvreux.

European integration 

Regarding the fragmentation of the European banking system and the need for European banking integration, Mr. Psaltis highlighted:

• The gap that now separates the EU from the USA.
  
• The need to facilitate cross-border business transactions and investments in Europe. 
  

He added that fragmentation can be addressed through: 

• Mergers and acquisitions 
• Strategic partnerships 
  

According to Mr Psaltis, Alpha Bank and UniCredit have come up with a different approach, which has already paid off more than expected: “We are helping either corporates or individuals getting a gateway to Europe which is, at the end of the day, what European integration is all about”.

Alpha Bank: Leaps forward 

Measurable results

Mr Psaltis said that Alpha Bank's transformation in recent years combined with its vision and resilience have led to:

• Non-performing exposures (NPEs) leveraging 
• Regaining investment grade after 13 years 
• Dividend payment after 16 years 
• Full re-privatisation of Alpha Bank after 12 years 
• Investment by a strategic investor (UniCredit) in the Greek banking system after 17 years 
• Stable capital base and strong performance
  

He also mentioned the increase in corporate lending and foreign direct investments in airports, renewable energy sources and infrastructure.

Artificial intelligence and new challenges

The CEO described artificial intelligence (AI) as a change accelerator: "The role between the transactional part and the advisory part is changing.That changes the branch. But that changes also your human resources needs in order to accommodate for that". 

To meet these new challenges, in 2024 Alpha Bank :

• Introduced a chat bot for its customers. 
• Promoted the incorporation of transactions in the mobile app. 
• Set a target for full incorporation in 2025. 
  

Greek economy: “Greece is going to be going towards the better part of Europe”

Mr Psaltis commented on the positive performance of the Greek economy and reckoned that there is no risk of new NPEs. 

He highlighted the need to strengthen infrastructure to go hand in hand with the massive upgrade in the hotelier industry. Additionally, he: 

• Noted the role of the Recovery and Resilience Fund, mentioning that new loans have outpaced expectations, whereas there are delays in grants. 
• Urged the government to continue implementing their reform agenda and virtuous fiscal policy.
  

In addition, the CEO referred to how banks are planning to repay deferred tax credit (DTC) earlier: "We are dealing with probably the last legacy of the past in a very constructive way and we are putting that to work without really a material effect on our capital".