Greece faces a decisive week in its struggle to avert a sovereign default, with the success of its planned debt swap poised on a knife edge amid doubts over the level of participation by private bondholders.
Private holders of €206bn in Greek bonds have until Thursday evening to decide whether to participate in a bond swap that would knock about €100bn off Athens’ debt pile.
Those with knowledge of the procedures say that investors seem reluctant to sign up. “We are entering the unknown. Everyone has their fingers crossed. But we are going to be flying blind for a few days,” said a person close to one bondholder.
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