Greece repays €2.5 billion to EFSF using bank reprivatisation proceeds

Greece repaid €2.5 billion to the European Financial Stability Facility on Thursday, using proceeds generated from the reprivatisation of Greek banks that had previously received support from the Hellenic Financial Stability Fund, the bail-out mechanism announced on October 2, 2026. This repayment represents another clear indication of the progress Greece has made in strengthening its economy and financial system, European Financial Stability Facility managing director Pierre Gramegna said. Proceeds from the reprivatisation of the banks tangibly reflect the recovery of the Greek banking sector following the crisis, Gramegna said. Utilising a portion of these proceeds to repay the European Financial Stability Facility reduces Greece’s public debt and sends a signal of confidence to the markets, Gramegna said. This development serves as a distinctly positive outcome for Greece, Gramegna added. Greece informed the European Financial Stability Facility and the European Stability Mechanism on September 1, 2026, that the Hellenic Corporation of Assets and Participations, following its merger with the Hellenic Financial Stability Fund, possessed revenues of approximately €4 billion linked to the financial stability fund. Both the European Financial Stability Facility and the European Stability Mechanism hold contractual repayment rights over the assets of the Hellenic Corporation of Assets and Participations derived from bank recapitalisation operations connected to their funding. The European Financial Stability Facility exercised its rights regarding the €2.5 billion sum. The amount was allocated specifically to the European Financial Stability Facility because the cost of its loans is higher than that of the European Stability Mechanism’s loans. Both the European Financial Stability Facility and the European Stability Mechanism retain their contractual rights over remaining loans. Greece previously executed the early repayment of loans amounting to €6.94 billion on June 15, 2026, which had been granted under the initial Greek Loan Facility memorandum. Greece is scheduled to proceed with the early settlement of public debt totalling €12.84 billion overall during the course of 2026.