Financial markets

S&P Global Ratings (S&P) has revised the outlook for Bank of Cyprus to positive from stable, citing the easing of funding risks, a diversified business model and substantial progress in de-risking its balance sheet.

The reopening of a 10-year Greek bond issue was more than five times oversubscribed during an auction held on Wednesday. 

The Public Debt Management Authority said that bids totaled 1.7 billion euros, significantly up from the €300 million asked. 

The Bank of Cyprus is proceeding with a dividend payment after 12 years, after receiving the green light from the European Central Bank. 

According to an announcement, the BoC Holdings board of directors will propose the payment of a final dividend of 0.05 euros per share from the profits of 2022 to shareholders at the annual general meeting, to be held on May 26. 

The Hellenic Public Properties Company (ETAD) on Wednesday announced the completion of the sale of the state property at the Skaramangas Shipyards to the new investor, Milina Enterprises Company Limited, owned by George Procopiou.

The Treasury and Finance Ministry has said it raised $2.5 billion in a green bond issuance maturing in 2030.

The ministry earlier this week mandated Bank of America, ING, J.P. Morgan, and Standard Chartered for the U.S. dollar-denominated green bond.

Cyprus launched its first sustainable bond on Tuesday as governments took advantage of high demand for such assets following weeks of wild swings in bond markets.

Nicosia raised 1 billion euros from its first sustainable bond, the country's debt office said, becoming the latest European government to enter the market.

The decision of the Public Debt Management Agency to tap the markets at the exact moment the pre-election period begins and to capitalize at the same time on the improvement that has occurred in the bond market, which is seen as a safety net for investors amid the still-simmering banking crisis, turned out to be absolutely correct.

Greece is proceeding on Wednesday with its second market foray for 2023, barring any unforeseen circumstances, with the issuance of a new five-year bond. Its aim is to capitalize on the positive climate that exists in the bond market but also to avoid any possible instability that may stem from the pre-election period.

Political developments after the railway tragedy have certainly moved onto investors' radar, however, they are not seen as a risk on the bond market, as yields have stayed put.

Moving the elections to May instead of early April, with the second polls expected in the summer, increases the time of the pre-election period.

Iraq's prime minister said yesterday the country's central bank governor had been relieved of his duties as the local currency continues to fall against the dollar.