The government's financing plan for 2025 was made public on Monday by the Public Debt Management Agency (PDMA).

According to the prospectus, Greece will issue €8 billion of bonds next year, while early repayment of loans under the Greek economy's €5.29 billion bailout programs is planned.

The financing strategy

As noted, the financing strategy for 2025 focuses on continued presence in international debt markets, accompanied by a reduction in the level of public debt, prudent management of the debt portfolio, and the maintenance of a significant cash buffer.

The financing strategy also aims at further improving the functioning of the secondary bond market and further reducing the risk of rollover of debt securities.

The limited and targeted use of cash reserves is mainly due to the corresponding increase in assets (loans from the Recovery Fund, capital injections, etc.).

The objectives

The current debt and financing strategy of the DFI focuses on achieving the following main objectives:

• Improving market access
• Create a marketable and liquid yield curve
• Broadening the investor base towards more'real money' investors.
• Containing the cost of funding
• Alignment of the credit spread of the government bond curve with that of bonds
• Limiting debt-related risks
• Containing interest rate and foreign exchange risks
• Limitation of refinancing risks
• Liquidity management (cash reserves of both the Greek State and general government entities)