Sunday November 23, 2014 Search
Weather | Athens
18o 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 Mondays 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 countrys 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 ECBs 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)  
Fitch keeps Greek rating at B, outlook stable
More cash for banks with same papers
Growth to fuel rise in revenues
Commercial property draws interest from investors
Cyprus on agenda in Biden visit to Istanbul
The prospects for the resumption of stalled peace talks on Cyprus and the issue of energy security were among the matters discussed on Saturday by US Vice President Joe Biden and Turkish gov...
PASOK nixes Papandreou leadership challenge
The junior coalition partner PASOK rejected over the weekend a proposal by the partys former leader and ex-premier George Papandreou for the party to call an emergency congress and a subseq...
Inside News
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
Is Europe paying attention?
Barack Obama brought hope to the entire world when he was elected president of the United States in 2009 and then again in 2012 for a second term. During his first visit to Europe, marked by...
EDITORIAL
A reasonable agreement
Greece cannot and should not allow itself to be left without a safety net to make up for any funding needs that may crop up after the end of the year. Without such protection it would be at ...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
RECENT NEWS
1. Cyprus on agenda in Biden visit to Istanbul
2. PASOK nixes Papandreou leadership challenge
3. Troika tests govt nerves as budget rift persists
4. Climate change to hit farming, Greek coastline
5. Piraeus nightclub shooting leaves 3 seriously injured
6. London court to rule on extradition of former judge
more news
Today
This Week
1. Fitch keeps Greek rating at B, outlook stable
2. Piraeus nightclub shooting leaves 3 seriously injured
3. Climate change to hit farming, Greek coastline
4. PASOK nixes Papandreou leadership challenge
5. Cyprus on agenda in Biden visit to Istanbul
6. Troika tests govt nerves as budget rift persists
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. Anti-junta uprising anniversary to be marked amid tight security
4. Biden heads to Istanbul amid tension over Cyprus EEZ violation
5. Carlsberg takes control of Greek brewer Olympic Brewery [Update]
6. Every age has its collaborators
Find us ...
... on
Twitter
... on Facebook
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright 2014, H KAΘHMEPINH All Rights Reserved.