Greece’s Debt Exit: Why the €2.5 Billion EFSF Repayment Matters — and the Risk After 2030

Greece’s €2.5 billion repayment to the EFSF is another step in the rapid decline of its debt burden. But the bigger story lies ahead: Greece is moving closer to Italy in the EU debt rankings, heading toward the 120% debt-to-GDP threshold and, over the longer term, toward 100%. At the same time, however, the country will gradually move away from the protection of long-maturity European rescue loans and become more dependent on market financing. That is where the real test begins.
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