Greece is to make an urgent bid to raise funds from the financial markets in case it does not get another tranche of bailout aid in time to repay debts.
British Broadcasting Corporation reports that on Tuesday, it plans to issue bonds, repayable in one and three months, to cover debt repayments due on Friday.
The bond issue is to raise 3.12bn euros ($4bn; £2.4bn), to help the country repay creditors owed about 4bn euros.
Greece is negotiating to secure aid worth 31.5bn euros from the European Union and International Monetary Fund.
Without the aid, heavily-indebted Greece would face bankruptcy.
Manos Chatzidakis, an analyst at Beta Securities in Athens, said the four-week treasury auction was an unusual but necessary step.
It would keep Athens afloat until leaders of the eurozone meet on 26 November to approve payment of the latest rescue loans. Despite the Athens Parliament passing the hugely unpopular austerity cutbacks, the EU, IMF and European Central Bank are still reviewing the country’s finances.
“This is bridge financing ahead of the November 26 decision, to ensure that there is no problem with [repaying] bondholders. It is unorthodox, but it’s a form of bridge financing and not the beginning of regular such issues. It has a purely technical role,” Chatzidakis said.
The news came as Cyprus began a new round of talks about a bailout to support the country’s ailing banks and service its debt payments.
Negotiators from the EU, ECB and the IMF – collectively known as troika – held talks with senior government officials from Cyprus’s finance ministry and central bank. The talks are expected to continue into next week.
Cyprus has been unable to tap international financial markets for money since last year because of its junk credit rating. The country has been negotiating with Russia for money, but the talks are thought to have stalled.
Headlines Newsview all
The Federal High Court, Ado-Ekiti, has summoned the Economic and Financial Crimes Commission and the Zenith Bank Plc to show why an order exparte to ... Full story
President Muhammadu Buhari says he has met with Christians from all over the country and exchanged ideas with them, expressing pleasure with the meeting. Buhari, who ... Full story
Rate this article
Nigerian born show-stopper, AdmiralC4C who has made a name for himself on the musical scene in Romania is currently engaged to his baby mama, Ana ... Full story
A Nigerian pastor has become the talk of town after his expensive wedding in faraway Germany. The pastor identified as Benson Oben Bechemayor of The Chapel ... Full story
The new foreign exchange regime implemented by the Central Bank of Nigeria (CBN) saw the naira “effectively devalued” from 197 to about 283 against the ...
Mother of two, Afrocandy looks s*xually appealling in a fading green gown which has attracted accolades from her fans. From the numerous pictures shared on her ... Full story
The Lagos state government in conjunction with the Sports Writers Association of Nigeria and the Nigeria Football Supporters Club will be organizing a Farewell Testimonial ...
A bouncer who was working the door at a party organised by Lil Wayne and 2Chainz has come out to accuse Wayne of punching him ...
Media personality, Toke Makinwa covers the latest edition of Glam Africa Magazine. In it she talks about having a member of the opposite sex as ...
Kylie Jenner and Tyga seem to have really gotten back together. The duo were seen at Kanye West' Famous video release party over the weekend ...
Bill Gates, the world’s richest man, and Mark Zuckerberg, co-founder of Facebook, have lost $3.4 billion to the decision of the UK voters to leave ...
Members of the Automobile, Boatyards, Transport, Equipment and Allied Senior Staff Association have urged the Federal Government to invest in the auto industry, own its ... Full story