The Greek government is set to intensify its presence in international bond markets next year, aiming to raise €11 billion to meet rising financing needs.
The plan reflects the country’s improved fiscal stability and recent upgrades from global rating agencies, signaling renewed investor confidence in Greece‘s economy.
According to the Budget Introductory Report presented to Parliament by Minister of National Economy and Finance Kostis Hatzidakis, Greece’s net borrowing in 2025 will nearly double to €8.5 billion, up from €4.07 billion in 2024. This significant increase comes as the state budget deficit on a cash basis is projected to widen to €4.4 billion, compared to €3 billion this year.
Additional financial obligations contributing to the increased borrowing include €3.7 billion for Recovery Fund loans and €1.7 billion for state participation in share capital increases of companies. When combined with €5.5 billion needed for public debt servicing, Greece’s total financing requirements in 2025 will reach approximately €14 billion.
To address these needs, the Greek State plans to raise €11 billion from bond markets, up from the €9 billion expected to be secured in 2024. The increased activity underscores Greece’s commitment to managing its fiscal challenges while capitalising on favourable market conditions and investor interest bolstered by its fiscal reforms and economic recovery.
(Source: Amna)