GREECE
Macro/Political:
- Greece will today auction 26 Weeks T-Bills with maturity June 6, 2026. The amount to be auctioned is EUR 400mn.
Source: PDMA
- The Greek PDMA published its 2026 funding strategy yesterday. The report emphasizes that Greece’s public debt-to-GDP ratio is expected to remain on a firm downward trajectory, even under a more conservative scenario. Solid nominal growth sustained primary surpluses, low debt-servicing costs, and the targeted use of cash reserves for cost-effective early repayments of existing debt are projected to support a steady decline in the government debt-to-GDP ratio. More specifically, Greece plans to undertake early repayments of EUR 8.8bn of its debt in 2026.Total financing needs for 2026 are expected to amount to EUR 24.7bn, of which EUR 8bn will be raised through bond issuances.
Source: PDMA
- According to the current projections of the Bank of Greece (Interim Report on Monetary Policy 2025), the growth rate of the Greek economy is expected to turn out at 2.1% in 2025 and be in the same levels in the years 2026 and 2027, before a marginal slowdown to 2% in 2028. The BoG noted that the main driver of growth is expected to be consumption, while investment and exports should continue contribute positively. Investment growth is projected at a strong 7.3% in 2025-26, moderating in 2027-28 after the expiry of the NextGenerationEU recovery instrument. According to the BoG, HICP inflation will continue to decline during the forecast period. In 2025, it is expected to remain high at 2.8%, reflecting the persistence of services inflation primarily due to anticipated increased in wages and property rent. Inflation is forecast to decrease significantly to 2.1% in 2026 and to remain virtually unchanged at 2.2% in 2027, while a one-off acceleration to 2.5% is expected in 2028 as the impact of the new EU Emissions Trading System.
Source: Bank of Greece
- In October 2025, the current account deficit decreased by EUR 449.5mn (y-o-y) and stood at EUR 1.1bn, while the balance of goods and services improved. In January-October 2025, the current account deficit fell by EUR 1.8 bn (y-o-y) and stood at EUR 8.1bn.
Source: Bank of Greece
Markets:
- Credia Bank announced that, following the put option agreement executed on 16 September 2025, it has entered into a definitive agreement with HSBC Continental Europe for the acquisition of a 70.03% shareholding in HSBC Bank Malta, for a cash consideration of EUR 200mn.
Source: ATHEX
- METLEN announced the successful completion of the financial closing for the disposal of a large portion of its Chilean portfolio, which includes four projects with operational solar capacity of 588MW, supported by co-located, constructed BESS with a total capacity of 1,610MWh. The transaction with GAC RS Chile, a subsidiary of the Glenfarne Group, forms part of METLEN’s global asset rotation plan. Subject to the fulfilment of certain conditions, the total consideration of USD 865mn reflects the value-creation opportunities emerging in the Chilean market along with METLEN’s integral role towards the operation of the projects in this growing hybrid.
Source: ATHEX
CYPRUS
Macro/Political:
- In its macroeconomic forecast –December 2025, the Central Bank of Cyprus (CBC) projects that the Cypriot economy will grow by 3.5% (+0.2pp from previous forecast in September 2025) this year. CBC expects Cyprus’ GDP to increase by 3.0% (unchanged) in 2026 and 2027. Unemployment rate is expected to decline to 4.5% in 2025 (from 4.9% in 2024),2026 and 2027 accordingly. According to the CBC, inflation is expected to drop to 0.8% this year, and 1.7% in 2026.
Source: CBC
- President Nikos Christodoulides said on Monday that Cyprus’s cooperation with Israel and Greece on issues such as energy and defence remains strong and unwavering, ahead of his planned meeting with the two countries leaders in Israel. More specifically, Christodoulides pointed to a further strengthening of trilateral ties, adding that there are no limits to the prospects for cooperation among the three countries in the energy, defence, security, and economic sectors.
Source: Cyprus Mail
