Greece’s borrowing terms confirm confidence in our economy despite international instability, Minister of National Economy and Finance Kostis Hatzidakis said on the 10-year bond issued the previous day.
“The Greek government raised the amount of 4 billion euros from the international capital markets, covering 50% of its annual borrowing programme. Yesterday’s issuance took place simultaneously with issuances by other major debt issuers, amid great volatility in international markets, achieving record investor participation, with an order book that exceeded 40 billion euros, the largest in the history of the Greek government,” the minister noted.
Despite the extremely volatile environment, the credit risk margin (spread) of Greek bonds not only did not increase, as would be expected due to the supply of new securities, but on the contrary, it decreased compared to those of other eurozone countries.
He added that the high demand and the quality of the investors who participated led the spread of the new 10-year bond compared to the corresponding German one to 99.1 basis points (bps), i.e. 20.2 basis points lower compared to the corresponding one last year which was 119.3 bps.
“The above is tangible proof of the confidence of the international investment community in the Greek economy and the country’s rapid return to normality. Congratulations to the Public Debt Management Agency (PDMA) for the very successful procedure.”
