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Monday, February 13, 2012

Greece to Complete Private Creditor Bond Swap in March






Greece will complete a debt restructuring deal with private creditors in March to help the country stay afloat and avoid default on its massive debt, a government spokesman said on Monday.

“The government bond swap will be completed already in March,” Pantelis Kapsis told reporters.

The Greek parliament approved early on Monday a deeply unpopular austerity bill envisaging belt-tightening, wage and pension cuts.

The bill envisages 3.3 billion euros ($4.35 billion) in wage, pension and job cuts as the price of the 130-billion-euro rescue package from the European Union and the International Monetary Fund, Greece’s second since 2010. Greece needs the funds before March 20 to meet debt repayments of 14.5 billion euros.

Greece is also set to reduce its massive 360 billion euro debt by about 100 billion euros through a swap deal with private creditors.
RIA Novosti

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