Delay in deal with troika holds back privatizations

The Greek privatizations program is experiencing a fresh round of delays as the agreement between the government and its foreign creditors — determining the release of the much-needed bailout tranche of 31.5 billion euros — has yet to be signed.

The Hellenic Republic Asset Development Fund (TAIPED), which runs the sell-off program, keeps extending deadlines in order to gain time and improve the terms and conditions for sale agreements as much as possible. After the three-week extension to the deadline for the expression of interest in OPAP gaming company, the fund last week announced a 10-day extension for the expression of non-binding interest in natural gas companies DEPA and DESFA.

Meanwhile, the delay in the recapitalization of local banks, which depends on the bailout funding, has creates a funding gap in attempted privatizations, given that about one-third of the total cost for investors in sell-off projects is expected to be covered by domestic lenders, another third from foreign banks and the rest from investors? own funds.

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.