Greece sells 1.625 bln euros of 6-month T-bills

Greece sold 1.625 billion euros ($2.00 billion) of six-month T-bills on Tuesday, with the yield slightly falling from a previous auction in June.

The sale’s bid-cover ratio was 2.16, up from 2.14 in the June 12 auction. Greece paid a yield of 4.70 percent, three basis points below the previous auction, the debt agency said.

Monthly T-bill sales are Greece’s sole source of market funding. Greek banks and social security funds traditionally buy the bulk of the T-bill issues, meaning funding costs do not fully reflect strains from the country’s debt crisis.

Greece’s second EU/IMF bailout plan approved earlier this year hopes to reduce the country’s reliance on T-bills.

Tuesday’s auction will fund the rollover of a previous 2 billion euro issue that comes due on July 13. [Reuters]

Subscribe to our Newsletters

Enter your information below to receive our weekly newsletters with the latest insights, opinion pieces and current events straight to your inbox.

By signing up you are agreeing to our Terms of Service and Privacy Policy.