Greece's benchmark stock index, the Athex Composite, has climbed 28.32% since the start of the year, vastly outperforming both the pan-European Euro Stoxx 600, which is up just 8.77%, and Germany's DAX, which has gained 4.03% since early January, according to an analysis published by the German newspaper Frankfurter Allgemeine Zeitung (FAZ).
The FAZ analysis, titled "Why gyros, schnitzel and bingo halls are attracting investors," opens by recalling a joke that circulated during the peak of the euro crisis in the first half of the 2010s. A German couple visits a Greek restaurant in their neighbourhood, eats, and on leaving tells the owner: "We've already paid." At the time, Greece was rescued from a disorderly default through international bailout programmes and debt restructuring, a process that also funnelled German taxpayers' money to Athens.
FAZ notes that, on the political level, that era's most lasting legacy in Germany has essentially been the Alternative for Germany (AfD) party. AfD was founded in 2013 largely as a reaction to the European sovereign debt crisis and the euro crisis, and the party took a firm stance against eurozone bailout policy, particularly against aid programmes for crisis-hit countries such as Greece.
More than a decade later, the Greek economy is growing strongly. The European Commission forecasts economic growth of 1.8% for Greece this year, after Greek GDP already expanded by 1.7% in 2025.
That picture is reflected on the Athens Stock Exchange. The Athex Composite, which includes the 60 largest and most heavily traded Greek companies, has gained 28.32% since the start of the year, compared with 8.77% for the Euro Stoxx 600 and 4.03% for Germany's DAX.
However, Greek banks listed on the Athens exchange play a decisive role and carry significant weight in the index. The European banking sector as a whole is going through a particularly strong period, not only in Greece: the Euro Stoxx Banks index has risen 21.75% this year.
In Greece's case, the recovery from years of crisis adds a further boost. Non-performing loans from that period have been sharply reduced, bank balance sheets are stronger and profitability has improved markedly. This has allowed lenders to resume paying dividends and to carry out share buybacks.
At the same time, financing to businesses is recovering. As a result, international investors are increasing their exposure to the Greek banking sector, which is dominated by Piraeus Bank, the National Bank of Greece, Alpha Bank and Eurobank.
Vienna Stock Exchange benefits from Eastern Europe
Banks are also behind the strong performance of the Vienna Stock Exchange. The ATX index has gained 29.51% this year, even though Austria's economic growth remains as sluggish as Germany's.
As in Athens, the main index in Vienna is dominated by banks. Among its largest companies are Erste Group, Raiffeisen Bank International and Bawag, all of which draw a large share of their revenue from Eastern Europe.
According to Austria's central bank, roughly one third of the loans these institutions extend relate to that region. The strong performance of the Vienna Stock Exchange therefore reflects less the dynamism of the Austrian economy and more that of Eastern European economies.
Strong growth in Poland
It is little surprise, then, that the Warsaw Stock Exchange is also among Europe's strongest performers this year. Its WIG20 index has risen 32.58% so far.
In Poland's case, the stock market's performance reflects the current strength of the country's economy, which is still classified as an emerging market in bond markets. The European Commission forecasts growth of around 3.5% for Poland in 2026, driven mainly by private consumption and large investments funded by European resources, a rate several times higher than Germany's projected growth of just 0.6%.
Although a strong banking sector also contributes significantly to the Warsaw exchange's rise, Poland's growth rests on much broader foundations. The country has rising incomes, strengthened consumption, large infrastructure investment needs, growing capital expenditure and overall greater economic momentum.
Foreign investors have taken notice too, and increased inflows of international capital are further reinforcing the upward momentum of the Polish market. Even so, Poland's economic success owes much to Europe, since the country benefits substantially from European Union budget funds.
