The new haircut on Greek bonds decided on Friday morning by the Greek Parliament has centered the attention of international media across the world. In their breaking news reports, BBC, CNN, CNBC and Reuters welcomed the new bond swap deal under the PSI procedure as a monumental success story.
According to the Greek Finance Ministry, 85.8 percent of private holders of state bonds announced participation in the bond swap program, thus, creating a new aura of optimism in the markets.
All three major news agencies were optimistic on the upcoming reduction of the Greek debt by 105.27 billion Euros and noted that this deal would protect the country from a default that would have severe consequences both for Greece and the Euro Zone.
More particularly, BBC underlined the necessity of the new swap deal between Greece and its creditors, in order to secure a second bailout package from the EU, ECB and IMF.
CNN welcomed in its turn the Greek deal restructuring the Greek bonds and cited the Greek Finance Minister, Evangelos Venizelos, being pleased with the creditors’ participation that would help share the people’s economic burdens.
Reuters was the first one to report the news of a higher than 85 percent participation in the deal and highlighted the importance of the agreement. Moreover, it cited a Greek official claiming that up until the last minute there were fears the deal would collapse.
The US network CNBC moved in the same spirit, reporting on an even higher percent of private participation in the Greek deal for the haircut.