Cash-strapped Greece sold 1.138 million euros ($1.28 billion) of three-month Treasury bills on Wednesday, successfully covering the entire amount it sought to raise in the second of two auctions this month that tested its ability to find funds.
Despite an increasingly dire financial position as bailout aid remains frozen, Athens has been able to find domestic buyers to plug any gaps resulting from foreign investors’ refusal to roll over their own Greek T-bill holdings.
The paper was sold at a yield of 2.70 percent, unchanged from a previous sale in April, the country’s debt agency PDMA said.
The sale’s bid-cover ratio was 1.30, unchanged from April and showing no deterioration in demand despite tight liquidity conditions.
The amount raised included 262.5 million euros in non-competitive bids. The settlement date for Wednesday’s auction will be May 15.