MNI: Greek 2026 New Issuance Lower End Of EUR8-10 Bln-Source

Greece’s funding plans for 2026 will probably include EUR 8-10 billion of new issuance, with the lower end of the range more likely, a source from the Greek treasury told MNI, adding that this year the country has already raised EUR7.5 billion of the target of EUR8 billion.

This year’s remaining EUR500 million are expected to be raised through auctions in September, October and November. The maturity that will depend on investor appetite, though that it will not be in the longer end of the curve, the source said, adding “Investors are full of duration.” 

The maturities of upcoming auctions for both 2025 and 2026 will largely depend on feedback from primary dealers, the source said. 

Greek officials are currently relaxed with their debt plans, with record cash reserves of EUR45.3 billion and limited gross financing needs, the official said. (See MNI INTERVIEW: Little Appetite For EU Defence Bonds-Slovak DMO)

HIGHER PRIMARY SURPLUS

In 2026 Greece’s primary surplus should be higher than in 2025, giving “plenty room of manoeuvre” for gross issuance of EUR15 billion, the source said.

Greece is also set to repay its first bailout loans a decade earlier than scheduled, aiming to finalise repayment by 2031 instead of the original 2041 deadline, the source said. This should leave more space for other further financing activity, the source said.