Greece plans to raise €5bn from a new seven-year bond in its first attempt to raise funds since the EU-backed safety net agreement for the country.
The capital markets issuance comes after European leaders agreed at a summit last Thursday to provide a standby facility for the heavy-indebted country made up of loans and IMF funding amounting to around €25bn.
Earlier this month, Greece sold €5bn euros of government bonds but had to pay an interest rate of 6.25% - a far higher rate than other European countries such as Germany.
Greece hopes the EU aid facility will result in a lower yield on its bonds than its previous issuance when the Government had to pay a high rate of interest to attract investors.
An official at the public debt management agency says subscriptions for the issue had exceeded €2bn ($2.7bn) "within half an hour of the book being opened", The Financial Times reports.
Greece expects to raise €5bn from the issue, which was likely to be priced at a yield of 310 basis points over swaps, the official said.
Square Mile’s series of informal interviews
Achievements, charity work and other happy snippets
Latest news and analysis
69% of general population