Handelsblatt on Tuesday cited what it called a plan by the Greek government to float a new 10-year bond, with the German financial daily saying that whatever yields arise will service as a barometer for Greece’s creditworthiness.
“A successful market foray would serve as a political success for Prime Minister Alexis Tsipras, which could benefit (him) ahead of elections, which must take place no later than October,” the daily writes.
Handelsblatt reminds that Greece does not need to drain new capital from the markets for its borrowing needs, given a 26.5-billion-euro “cash cushion” accumulated by Athens, nevertheless, restoring confidence in the Greek state’s creditworthiness necessitates a return to markets on a regular basis.
