Outlook upgrade makes foreign cash inflow rise

The Greek economy saw an inflow of 5 billion euros for Greek shares and bonds as a result of the credit rating outlook upgrade of the Greek economy, a report in the Bank of Greece Economic Bulletin said on Wednesday.

In "The Investment Grade and Funds' Portfolio Allocation in Greek Assets," the authors said their analysis found that between Q4 2022 and Q3 in 2023, the rise in bond and share placements was assessed at €5 billion, of which €2.9 billion concerned placements in shares and €2.1 billion placements in bonds.

The authors explained that the analysis found that in the aftermath of the change in Greece's sovereign credit rating outlook to positive by the rating agency Standard and Poor's (S&P), investment funds increased their holdings of Greek sovereign bonds in relation to other comparable euro area sovereign bonds.

Their analysis also found that this...