Greece Aims to Repay First Bailout Loans a Decade Early, Says Finance Minister

According to Finance Minister Kyriakos Pierrakakis, Greece plans to repay the remainder of its first international bailout loans by 2031—ten years ahead of schedule.

He said the move would further reduce the country’s long-term debt burden and mark a decisive end to one of the most difficult chapters in its financial history.

Speaking to Bloomberg Television on Monday from Brussels, Pierrakakis stated, “It should be completely behind us by 2031,” referring to the Greek Loan Facility (GLF) established during the first bailout in 2010. He emphasized that fiscal discipline is no longer a policy choice but a structural principle: “Fiscal prudence is not a policy choice—it’s a regime.”

The final repayment of these loans was originally set for 2041, but Athens now plans to pay the full amount by the end of 2031. Greece has already begun repaying parts of these obligations early, a trend expected to continue in 2025, as previously indicated by Prime Minister Kyriakos Mitsotakis.

Greece still owes €31.6 billion under the GLF from an original €52.9 billion borrowed from eurozone countries in 2010, during the height of its debt crisis. The country underwent three bailout programs supported mainly by European partners.

The accelerated repayment strategy comes as Greece continues to outperform fiscal expectations. This will significantly reduce repayment pressure from 2032 onward when most second-bailout loans are scheduled to begin repayment. In 2018, eurozone lenders had already granted Greece some relief, including interest deferrals and grace periods.

Greece’s public debt dropped to 153.6% of GDP in 2024—slightly better than the targeted 154%—and is projected to fall below 150% this year. The combination of a shrinking debt load, solid economic performance, and a budget surplus contributed to the country regaining investment-grade credit status.

In fact, Greece was one of only six EU countries to report a budget surplus in 2024, largely thanks to effective tax enforcement and prudent spending. The government forecasts a primary surplus of 3.2% of GDP in 2025, excluding interest payments.

“We don’t plan to pass the bill to the next generation,” Pierrakakis noted, expressing confidence that Greece will maintain primary budget surpluses under all future economic scenarios.