Pakistan

To the rescue: Greek bond buyback a success

Financial daily Naftemboriki said foreign debt-holders had offered to sell sovereign bonds.

Afp December 09, 2012 Less than a minute read

ATHENS: A Greek operation to buy back some of the country’s huge debt at reduced prices to access additional European Union-International Monetary Fund financial aid has met the 30-billion-euro target set by the authorities, news reports said on Saturday.

Financial daily Naftemboriki said foreign debt-holders had offered to sell sovereign bonds worth around 15 billion euros ($19.5 billion) while Greek banks had contributed another 15 billion euros by the required deadline on Friday.

Greece began the buyback on Monday in a bid to cut the national debt by around 20 billion euros ($26 billion), inviting eligible holders to turn in sovereign bonds for 32.2 to 40.1 percent of their face value. Those who participated were to receive six-month bills issued by the European Financial Stability Facility rescue fund with up to 10 billion euros available from the fund for the operation.

Published in The Express Tribune, December 9^th, 2012.