Bank of Cyprus raised EUR 300 mn from a new senior bond

Macro/Political:

• Greece is considering repaying an even larger portion of its bailout loans, according to a person familiar with the matter cited by Bloomberg. It is worth noting that the country is already planning an early repayment of EUR 6.9 billion of its bailout loans. The source added that, should Greece raise additional funds from the market, it may also consider repaying a larger share of its official sector debt.
  Source: Bloomberg

• Greek Prime Minister Kyriakos Mitsotakis warned on Wednesday that prolonged disruption in the Strait of Hormuz could fuel inflation, weaken economic growth, and place further strain on global energy markets, while insisting that Greece is better positioned than many European countries to withstand a prolonged crisis.
  Furthermore, he stated that Athens supports a diplomatic resolution to the conflict involving Iran and stressed that Iran cannot be allowed to acquire nuclear weapons. He also emphasized that freedom of navigation through the Straits must be fully restored.
  Source: Kathimerini

• Two pollsters and a political scientist contacted by Kathimerini believe that the toughest battle of the next election will be for the second place, between the socialist PASOK, the current main opposition in Parliament, and the yet to be announced new party of former prime minister Alexis Tsipras. The pollsters consider a victory for the incumbent New Democracy party a foregone conclusion, although they did not focus on the likelihood, rather remote according to all opinion polls, of the conservatives winning a parliamentary majority.
  Source: Kathimerini

Macro/Political:

• According to Cystat (flash estimate), in 1Q26 Cyprus’ GDP growth rate in real terms was 3% (y-o-y). Based on seasonally data, GDP growth rate in real terms is estimated at 3% (y-o-y) and 0.2% (q-o-q). The positive GDP growth rate is mainly attributed to the sectors: “Wholesale and Retail Trade, Repair of Motor Vehicles”, “Information and Communication”, and “Financial and Insurance Activities”.
  Source: CyStat

Markets:

• Bank of Cyprus raised EUR 300mn at a price of MS+100bps through the issuance of a 5NC4 senior preferred bond. Demand was very strong, with the final order book closing above EUR 1.8bn.
  Source: Bloomberg