Greece retains negative yield in first debt auction of year

Greece has raised 487.5 million euros ($544.4 million) in a treasury bill sale that saw country maintain its negative interest rate in first debt auction of year as debt-strapped country attempts to regain full market access.

Public Debt Manment ncy said 13-week T-bills were auctioned Wednesday at a yield of -0.08%.

Greece’s six-month-old conservative government is hoping to steily rebuild market access after country ended its third successive bailout a program in August 2018, emerging from severe financial crisis during which its membership in euro currency area came under repeated threat.

government is betting on favorable market conditions to try and convince European bailout creditors to ease draconian fiscal targets.

Greece is committed to achieving a primary budget surplus — annual balance before debt servicing costs — of 3.5% of gross domestic product through 2022. But it wants to introduce more lenient targets a year earlier. Ans is also planning to pay back ditional higher-interest loans to

In Washington on Tuesday, Prime Minister Kyriakos Mitsotakis met with new he of IMF, Kristalina Georgieva. A Greek official on visit said that early repayment plan was discussed at talks. official asked t to be named pending official anuncements.

Greece concluded its first early repayment to IMF in vember, while negative interest rates at a debt auction were achieved for first time previous month.

A full return to market has been hindered by country’s weak credit rating which has remained below investment gre for nearly a dece.

major ratings ncies are all scheduled to review Greece’s sovereign status later this year, starting in late January.

Mitsotakis government has promised to return Greek bonds to investment-gre status — requiring an improvement of at least three tches in most cases — in 2021.

Greek national debt was expected to be 173.3% of GDP in 2019, easing to 167% to this year, according to a national budget forecast.