Saturday November 22, 2014 Search
Weather | Athens
18o C
10o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Greece waits for buyback result, with local banks likely to hold key

Greece has to wait until Tuesday lunchtime to find out if it has reached the 30-billion-euro target for its bond buyback progam after extending the deadline, which expired on Friday.

The government announced early Monday that it would accept tenders until noon (London time) on Tuesday but did not reveal how close to its target it was.

It was originally thought that Greece had collected enough bonds on Friday to reduce its debt by 20 billion euros but this appeared not to be the case on Monday.

A total of 26.5 billion euros was tendered at an average price of 33.4 percent of face value when the offer expired on Friday, a senior euro zone official told Reuters.

That would mean Greece would still have 1.15 billion euros left over from the 10 billion euros it was allotted to spend to retire outstanding debt.

Assuming the same average price, it could buy an extra 3.5 billion euros worth of bonds.

We are confident that there is scope for additional tenders from domestic and international investors, European Commission spokesman Simon O'Connor told journalists in Brussels.

A successful debt buyback is an integral part of the Eurogroup agreement of November 27 and a requisite for the success of the adjustment program, he added.

The Eurogroup will meet on December 13 to review the outcome of the debt buyback operation and take the necessary decisions with regard to the next disbursement for Greece.

If Greece meets the target of 30 billion euros, it should ensure that the International Monetary Fund continues to co-finance the Greek bailout and that a long-awaited loan tranche of 34.4 billion euros will be released following Thursdays Eurogroup.

However, it may take Greek banks putting forward more of their bonds in order for the target to be met. According to reports, the lenders offered about 10 of the 17 billion euros worth of bonds they own by Friday.

Another 16 billion euros came from foreign investors, which means that unless more hedge fund take part in the buyback, Greek banks will have to make up the difference to meet the 30-billion-euro mark.

On Friday, the banks' boards gave approval for up to 100 percent of their Greek bondholdings to be used in the buyback.

ekathimerini.com , Monday December 10, 2012 (15:29)  
Image of artwork showing humans in blender taken out of schoolbooks
Simitis supports Venizelos over new movement
Two businessmen to be questioned in arms kickbacks probe
No swift breakthrough expected in troika talks
More cash for banks with same papers
Greek banks will be able to draw additional liquidity from the European Central Bank after Frankfurt issued a guideline on Friday that revises the haircut applying to securities issued or ...
Growth to fuel rise in revenues
Finance Minister Gikas Hardouvelis on Friday tabled in Parliament the final draft of the 2015 budget which is in line with the targets of the countrys bailout agreement with its creditors a...
Inside Business
INTERVIEW
Tokyo hopes to change the world
The 2020 Summer Olympic and Paralympic Games in Tokyo will serve as a springboard for the rebuilding of Japans image and economy following the triple blow of the earthquake, tsunami and nuc...
BASKETBALL
Big win for Greens, tight one for Reds
Panathinaikos scored a crucial as well as emphatic away win at Turow on Thursday that should see it qualify from its tough group to the top 16 of the Euroleague, while Olympiakos saw off vis...
Inside Sports
COMMENTARY
Give Greece a chance
Greece's creditors are testing the country's endurance - again. If they keep pressing, they could split the euro area apart, which would be a disaster for them as much as for Greece. They ne...
COMMENTARY
Who lost Greece?
If, by unhappy chance, Greeces efforts to create a more efficient economy and more just society should fail, if it turns out that all our sacrifices were in vain, who will be to blame? The ...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
RECENT NEWS
1. Image of artwork showing humans in blender taken out of schoolbooks
2. More cash for banks with same papers
3. Simitis supports Venizelos over new movement
4. Growth to fuel rise in revenues
5. Commercial property draws interest from investors
6. Sony chooses Piraeus as its entry point to Europe
more news
Today
This Week
1. Give Greece a chance
2. Coscos Greek unit adds multinational rail-freight client
3. No breakthrough after marathon conference call
4. Israel backs East Med pipeline project
5. Education Ministry mulls over introducing Albanian language classes
6. Greece says EU/IMF lenders disagree with 2015 budget deficit estimate
Today
This Week
1. Double quake on Atalanti fault line rattles Greek capital [Update]
2. Greece and Poland switch roles as young Greeks head to vibrant Eastern European country for better prospects
3. Constructively disrupting the Greek start-up ecosystem: What will the impact be?
4. Anti-junta uprising anniversary to be marked amid tight security
5. Biden heads to Istanbul amid tension over Cyprus EEZ violation
6. Carlsberg takes control of Greek brewer Olympic Brewery [Update]
Find us ...
... on
Twitter
... on Facebook
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright 2014, H KAΘHMEPINH All Rights Reserved.