Appetite for more bond issues

Greece is already mulling its next steps in the markets, including reissues of existing bonds and the issue of a new 10-year note.

The Public Debt Management Agency (PDMA) observed that the high cost the state has to pay for the issue of the new five-year note last Tuesday, a yield of 3.6 percent, has drawn strong demand and improved the climate in the markets for Greece. This foray attracted long-term investors and - as data from the interbank market reveal - avoided a repetition of the negative course suffered by last February's seven-year bond.

One of the proposals the Finance Ministry and the PDMA are considering provides, according to sources, for a reissue of the new five-year bond or the February 2018 seven-year note. As the new paper matures in April 2024, and the previous five-year bond, issued in 2014, matures this April, a reissue is one of the scenarios...

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