Greece successfully issued a seven-year syndicated bond loan raising 2.0 billion euros at an interest rate of 2.05% on Wednesday. Investor’s interest noted in the bond offer book reached 6.3 billion euros. The total sum of capital raised from markets after Greece’s exit form the bialout agreements has reached so far 13.5 billion euros.
“Greece has accessed the markets today, through adverse social and economic conditions created globally by the pandemic, and succeeded,” Finance Minister Christos Staikouras said after the successful exit to the market.
He described the interest rate of 2.05% as “a positive development,” Staikouras said, “since the borrowing cost is equal to that of the July 2019 bond, when the financial conditions were much better.”
He added that the majority of investors are foreign and institutional investors.
“Given these factors, the economic and political project was successful, and the confidence markets have in the government policy is confirmed,” the Finance Minister said. “Greece has proven that it can be successful even in adversity.”
However, state bond prices and yields remained under pressure in the aftermath of the IMF’s negative estimates for the Greek economy.
The 10-year bond yield rose to 2.1% from 1.92% on Tuesday, the five-year bond yield edged up to 1.53% from 1.48% and the 15-year bond yield rose to 2.08% from 1.96%.
No public debt is ever legitimate. It very readily follows to reason that all who are involved in the issuing, lending, and spending of public debt are complicit in a crime against all citizens.