30 Jan 2015
Greek government’s first test next week – BBH
FXStreet (Barcelona) - According to Brown Brothers Harriman, the first test of the new Greek government would be next week as it needs to roll over one billion euros in T-bills.
Key Quotes
“Greece has most certainly not been bailed out. It owes more money today than it did in 2010. Its debt is roughly 227 bln euros (~125% of GDP).”
“Given the private debt restructuring, the bulk of the Greek's debt is in the hands of the official sector, ECB, EU, IMF, bilateral loans from EMU members.”
“The first test of the new government will take place next week, not at the end of February when the current extension runs out. Next week, Greece needs to roll over about one billion euros in T-bills.”
“Previously foreign investors were eager buyers. When this dried up, Greek banks were relied on to buy the bills. However, there have been a dramatic outflow of deposits. There are estimates that as mush as 11 bln euro have left after a four billion drop in December.”
“There is 1.4 bln in T-bills maturing the following week (February 13).”
Key Quotes
“Greece has most certainly not been bailed out. It owes more money today than it did in 2010. Its debt is roughly 227 bln euros (~125% of GDP).”
“Given the private debt restructuring, the bulk of the Greek's debt is in the hands of the official sector, ECB, EU, IMF, bilateral loans from EMU members.”
“The first test of the new government will take place next week, not at the end of February when the current extension runs out. Next week, Greece needs to roll over about one billion euros in T-bills.”
“Previously foreign investors were eager buyers. When this dried up, Greek banks were relied on to buy the bills. However, there have been a dramatic outflow of deposits. There are estimates that as mush as 11 bln euro have left after a four billion drop in December.”
“There is 1.4 bln in T-bills maturing the following week (February 13).”