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Monday, November 25, 2024

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Greece Borrows with Negative Interest for the First Time in History

Greece Borrows with Negative Interest for the First Time in History

Greece has for the first time in history borrowed money with a negative interest rate, it was made public on Wednesday.

According to a statement issued by the country’s Public Debt Management Authority, during Wednesday’s three-month T-bill auction, the country managed to secure 487.5 million euros from the market for refinancing purposes, at a rate of -0.02 percent.

This is the first time ever that Athens has been able to borrow money for the short term without having to pay even a bit of interest, indicative of the good track its economy is now on.

Wednesday’s bids were also 2.71 times more than the sum requested, as investors are showing clear signs of trust in an economy once ravaged by a long-term financial crisis.

Analysts and government officials believe that this development is yet another proof of the climate of credibility prevailing in international markets concerning the Greek economy, following the 1.5 percent yield set at the reopening of a 10-year Greek state bond on Tuesday.

Source: news4money.gr

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