Greece to repay final IMF loans by March, obtain major surplus in 2023-FinMin


Article content material

ATHENS — Greece will repay the ultimate tranches of bailout loans owed to the Worldwide Financial Fund by the top of March, two years forward of schedule, Finance Minister Christos Staikouras advised Reuters on Monday.

The nation, which acquired greater than 260 billion euros in bailout loans from the European Union and the IMF throughout its decade-long monetary disaster, has relied solely on bond markets for its financing wants since exiting its third bailout in 2018.

Since then, it has additionally made a number of early repayments to the IMF and now owes 1.9 billion euros ($2.15 billion) in loans due by 2024, the final batch of a complete 28 billion euros that the Washington-based Fund supplied between 2010 and 2014.


Article content material

“Greece has formally submitted a request for the total compensation of the excellent steadiness of its IMF loans. The related process has been launched and is anticipated to be accomplished on the finish of March,” Staikouras mentioned in an interview.

Greece stays the euro zone’s most indebted nation, with public debt seen at 189.6% of gross home product in 2022. The transfer is anticipated to scale back the debt by about one proportion level and reserve it about 50 million euros in rate of interest funds.

Staikouras mentioned that regardless of growing spending to cope with the affect of the COVID-19 pandemic, Greece will return to a major surplus from 2023 onwards, as promised to its lenders, because of stronger development and better finances revenues.


Article content material

This might be a big step because it seeks to return to funding grade standing by 2023.

The European Central Financial institution’s hawkish flip has despatched Greek bond yields to their highest ranges since April 2020, with 10-year bonds now yielding round 2.5% in contrast with 0.9% in September 2021.

“Greece implements a prudent and accountable fiscal coverage and an insightful debt issuing technique, in an effort to restrict the implications of the truth that, regardless of the consecutive credit standing upgrades over the past two years, the nation has not but achieved funding grade standing,” he mentioned.

“Relating to 2023 onwards, we are going to shift in the direction of the achievement of life like major surpluses,” he added with out offering additional particulars. ($1 = 0.8846 euros) (Reporting by Lefteris Papadimas Enhancing by Tomasz Janowski)



Postmedia is dedicated to sustaining a energetic however civil discussion board for dialogue and encourage all readers to share their views on our articles. Feedback might take as much as an hour for moderation earlier than showing on the location. We ask you to maintain your feedback related and respectful. We’ve enabled e-mail notifications—you’ll now obtain an e-mail for those who obtain a reply to your remark, there’s an replace to a remark thread you observe or if a consumer you observe feedback. Go to our Neighborhood Pointers for extra info and particulars on the way to modify your e-mail settings.

Supply hyperlink


Please enter your comment!
Please enter your name here