Greece Postpones Issuance of Diaspora Bonds to the US

Because of the high uncertainty and rapidly deteriorating conditions in the capital markets, Greece has decided to postpone its registration in the U.S. Securities and Exchange Commission (SEC), which would allow it the issuance of the so-called Diaspora bonds that would be sold to Greek-American investors.

Greek Deputy Minister of Finances, Philippos Sachinidis, informed the Greek Parliament on Thursday that the bonds issuance postponement answered the respective question of LAOS MP, Kyriakos Velopoulos, who had asked for information on the status of the Diaspora bonds issuance, which had been declared since autumn 2010 and had not been implemented yet.

The Diaspora bonds aimed at attracting capital from the Greek-American Community in order to boost the Greek economy. Further initiatives included the issuance of such bonds to Australia and Canada.