Their better capitalization allows them to take somewhat higher risks, as shown by the fact their loans to the private sector are generally a higher share of their assets than for the average bank. Although they take somewhat more risk, they are profitable overall, more than their average competitors.
This signifies that Greek banks in the region have some comparative advantage, either in the form of access to capital markets, or because of superior organization and know-how, and good understanding of local conditions. 4  BIS Review 55/2003  While Greek banks play a major role in the neighboring economies, their exposure to these economies is generally small.