The private investors that so far declared their participation in Greece’s debt restructuring hold about 20 percent of the bonds involved in a swap required for an international bailout.
The 12 members of the creditors’ steering committee that said yesterday they would join in the exchange have debt with a face value of at least 40 billion euros ($53 billion), compared with the 206 billion euros of Greek bonds in private hands, according to data compiled by Bloomberg from company reports.
European officials are pressing investors to swallow the writedowns to avert even greater losses. The participating firms include some of Greece’s biggest creditors, including National Bank of Greece SA, Alpha Bank SA (ALPHA), BNP Paribas SA (BNP) and Commerzbank AG. (CBK) The goal of the swap, which runs through March 8, is to reduce by 53.5 percent the total of privately held Greek debt, helping avert an uncontrolled default that could roil markets and spur contagion to states such as Portugal.
“It’s in the interest of the private creditors as well as the international stability,” French European Affairs Minister Jean Leonetti said today in an interview in Paris. “All private creditors know it’s better to lose a little to win a lot rather than lose a lot later and win nothing. It’s better to lose 107 billion and win after in a more stable market.”
Read more at : http://www.bloomberg.com/news/2012-03-05/twelve-banks-commit-to-greek-debt-swap-plan-as-deadline-for-approval-looms.html
The 12 members of the creditors’ steering committee that said yesterday they would join in the exchange have debt with a face value of at least 40 billion euros ($53 billion), compared with the 206 billion euros of Greek bonds in private hands, according to data compiled by Bloomberg from company reports.
European officials are pressing investors to swallow the writedowns to avert even greater losses. The participating firms include some of Greece’s biggest creditors, including National Bank of Greece SA, Alpha Bank SA (ALPHA), BNP Paribas SA (BNP) and Commerzbank AG. (CBK) The goal of the swap, which runs through March 8, is to reduce by 53.5 percent the total of privately held Greek debt, helping avert an uncontrolled default that could roil markets and spur contagion to states such as Portugal.
“It’s in the interest of the private creditors as well as the international stability,” French European Affairs Minister Jean Leonetti said today in an interview in Paris. “All private creditors know it’s better to lose a little to win a lot rather than lose a lot later and win nothing. It’s better to lose 107 billion and win after in a more stable market.”
Read more at : http://www.bloomberg.com/news/2012-03-05/twelve-banks-commit-to-greek-debt-swap-plan-as-deadline-for-approval-looms.html
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