Monday Jan 26, 2015 Search
Weather | Athens
17o C
10o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Bond issue on track this week

 Despite more relaxed official statements, the Finance Ministry is gearing up for return to the markets

By Sotiris Nikas

Athens will issue its first bonds in four years later this week and will only sell them to foreign investors, sources have suggested.

There has been some confusion in the market over whether the government would be proceeding with the issue following statements by Finance Minister Yannis Stournaras on Monday in which he said that Greece is in no rush to return to the markets before Easter. The ministry also announced that “the return to the markets will take place within the first half of the year, as planned,” adding to the confusion.

However, it is believed that Monday’s statements were intended to the muddy the waters and that the government is set on proceeding as planned with issuing bonds either tomorrow or on Thursday.

Sources say that the plan provides for a bond issue directed only at foreigners for two main reasons. The first is that the issue should send a clear message that those who turned their back on Greece in April 2010 are now placing their trust back in the country as it gradually emerges from the bailout process. Moreover, no one wants the idea to spread that the new bond issue was supported by domestic funds.

Stournaras, meanwhile, said on Monday that the return to the markets “means that Greece, after four years of being cut off and unable to borrow, will slowly start to test the waters for a return similar to the way other countries such as Portugal and Ireland emerged from the bailout process.”

The second reason is that the country’s creditors, and particularly the European Central Bank, have asked that Greek banks do not use the mechanism of the new bond to draw more liquidity from the Eurosystem while also using the ECB’s mechanism for the same purpose.

The main scenario for the new bonds remains that it will be a five-year issue, with Public Debt Management Agency (PDMA) likely starting its book-building process tomorrow and ending it on Thursday, although the dates remain uncertain. The amount to be borrowed will be at least 2 billion euros.

ekathimerini.com , Monday April 7, 2014 (22:43)  
Talks with troika the main test
Fiscal gap from revenues at 2.3 bln euros
Liquidity noose tightening around local lenders’ necks
Banks make plans for tackling impact of Swiss franc’s growth on borrowers
Prison probes violent attack against N17 convict Xeros
Authorities at Domokos Prison in central Greece were investigating over the weekend an attack by an inmate on November 17 terrorist Christodoulos Xeros. According to Xeros’s lawyer, Fragisko...
Exit polls suggest big margin of victory for SYRIZA
Greece's anti-austerity leftist party Syriza is on course to win Sunday's snap election by a large margin over Prime Minister Antonis Samaras' conservatives, a joint exit poll showed. Syriza...
Inside News
SOCCER
Olympiakos overcomes depleted OFI at Iraklio
Easy though it may seem, Olympiakos’s 3-0 win at depleted OFI Crete was rather difficult on Saturday, but was enough to keep the Reds on top on Saturday, as they have maintained their two-po...
BASKETBALL
Tremendous Spanoulis sweeps Laboral Kutxa
A hot second half was enough for Olympiakos to undo visiting Laboral Kutxa and score its fourth win in as many games at the second round of the Euroleague on Friday. The 76-64 final score wa...
Inside Sports
FOCUS
A SYRIZA government in Greece: what it wants and what might be possible
The left-wing SYRIZA party led by Alexis Tsipras looks likely to win the Greek general election on Sunday after campaigning on a pledge to renegotiate the country’s international bailout and...
COMMENTARY
The train
If we go by the polls, SYRIZA is set to win Sunday’s election and form a government. New Democracy did not really campaign, or perhaps it did so in a way that can only be explained if the pa...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Prison probes violent attack against N17 convict Xeros
2. Talks with troika the main test
3. Fiscal gap from revenues at 2.3 bln euros
4. Liquidity noose tightening around local lenders’ necks
5. Banks make plans for tackling impact of Swiss franc’s growth on borrowers
6. Eurogroup set to point to an extension to bailout program
more news
Today
This Week
1. Greek Elections 2015 | LIVE
2. Greek Elections 2015 Results | LIVE
3. Greeks vote for reform path or defiance
4. A SYRIZA government in Greece: what it wants and what might be possible
5. Exit polls suggest big margin of victory for SYRIZA
6. SYRIZA aims for landmark election win
Today
This Week
1. Greek Elections 2015 | LIVE
2. Grexit the only way out of ‘valley of tears,’ says Hans-Werner Sinn
3. Greek Elections 2015 | LIVE
4. No debt writedown or rolling back of reforms for Greece, says Finland's Stubb
5. Greeks fork out nearly 5 pct of their incomes on telecom services
6. QE exclusion a ‘de facto Grexit’
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.