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Greece Issues 10-Year Bond Ahead of ECB Rate Hike
🇬🇷 Greece /Economy & Trade

Greece Issues 10-Year Bond Ahead of ECB Rate Hike

From Ta Nea · () Greek

Translated from Greek, summarized and contextualized by DistantNews.

At a glance

News Named sources New plan
  • The Greek government is issuing a new 10-year bond today, June 10, 2026, before the European Central Bank raises interest rates.
  • The bond issuance aims to strengthen the curve of Greek securities and boost the secondary market, not primarily to raise additional liquidity.
  • Despite anticipated interest rate hikes by the ECB, the Greek bond market shows resilience, with its 10-year yield only slightly higher than Germany's.

The Greek government is returning to the bond markets today, June 10, 2026, to re-issue its 10-year bond. This move comes just two days before the European Central Bank is expected to implement its first interest rate hike of the year.

The Greek government has mandated banks... to proceed with the re-issuance of the 10-year bond maturing on June 16, 2036.

— ODDIH (Public Debt Management Agency)Announcing the details of the bond issuance.

The Public Debt Management Agency (ODDIH) announced that Greek authorities have mandated banks including Alpha Bank, Barclays, Citi, Commerzbank, Nomura, and Societe Generale to manage the re-issuance of the 10-year bond, which matures on June 16, 2036. The ODDIH's borrowing program for the first half of 2026 had already scheduled a bond re-issuance for June 17. These planned market "outings" are primarily intended to enhance the curve of Greek securities and stimulate the secondary market, rather than to secure substantial additional liquidity.

These planned "outings" by the government to the markets are not intended so much to raise additional liquidity, but to strengthen the curve of Greek titles and stimulate the secondary market.

— Ta NeaExplaining the strategic purpose behind the bond issuance.

Despite the broader eurozone bond markets facing pressure from the ECB's anticipated 0.25% rate increase on Thursday, June 11, the Greek market is demonstrating resilience. The yield on the Greek 10-year bond in the secondary market is currently around 3.77%, a mere 0.78% higher than the equivalent German bond's yield of 3.07%. This relative stability is noteworthy given the prevailing economic climate.

The yield on the Greek 10-year bond in the secondary market is around 3.77%, and is only 0.78% higher than that (3.07%) of the corresponding German title.

— Ta NeaIllustrating the resilience of the Greek bond market.

Furthermore, data from Eurostat indicates that Greece's public debt servicing costs remain among the lowest in the eurozone. The cost of servicing debt marginally decreased in 2025 to 2.18% from 2.27% in 2024, reflecting the long maturity and unique structure of Greek debt. On a cash basis, including swaps, the cost of servicing public debt for the general government at the end of March 2026 was 1.38%, and 1.84% when including swaps and deferred interest on EFSF loans. In contrast, countries like Romania (5.2%) and Poland (4.5%) reported significantly higher debt servicing costs.

The cost of servicing public debt in Greece is among the lowest in the Eurozone.

— EurostatHighlighting Greece's favorable debt servicing metrics.
DistantNews Editorial

Originally published by Ta Nea in Greek. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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