Despite being a year of crisis, 2020 has also signaled the start of a major opportunity for Greece to manage its debt and regain the status of a normal bond market.
Despite the adverse conditions, Greece completed five successful market forays and drew 12 billion euros with historically low yields and impressive investor demand.
In order to make the most of that momentum, and while the country forms part of the European Central Bank’s emergency bond-buying program, Greece intends to execute over the next 14 months some additional market moves that will enhance its debt profile further and expand its bond market liquidity.
The objective is the improvement or the completion of the yield curve, combined with moves that – if conditions permit – will lead to a reduction of the Greek debt next year.
The strategy of the last 18 months will continue into 2021, with a 10-year issue being a sure bet. If the climate allows it there will also be more long-term issues that also have a greater demand, not ruling out the reopening of recent issues so that they all joy a liquidity that will range between €3-5.5 billion.