Greece borrowing to prove expensive

Greece: Greece may have to pay as much as 7.3% to attract buyers for an issue of 10-year bonds as the government struggles to persuade investors it can reduce its budget deficit, according to UniCredit.

The nation is likely to sell as much as €5 billion of 10-year notes by March, Spyros Papanicolaou, the former head of the country’s debt agency, said earlier this month.

Greece needs to raise €53bn this year and faces about €16bn of bond redemptions by May as it struggles to narrow a deficit more than four times the EU limit.