According to the latest figures the Greek government owes around 180% of GDP to various institutions and banks. Does anyone know if the Greek government converted any major private debt since the banking crisis started into public debt like for example Ireland did?

  • I provided an answer but I am not sure it really answers your question. Do you mean private debt as "debt the government contracted towards private actors" or “debt private actors had towards other private actors"? The original nature of the crisis in Ireland or Spain was very different than in Greece, even though many of the same constraints apply to all these countries.
    – Relaxed
    Jul 16, 2015 at 14:33
  • I'm talking about debts of private companies, e.g. banks, like the irish government did. I'm not talking about government debt owned by private companies.
    – Karlth
    Jul 16, 2015 at 19:46
  • Well then the answer is no, not to my knowledge but I would not be able to provide many details. I detailed my earlier answer as it did not address the question.
    – Relaxed
    Jul 20, 2015 at 17:10
  • 1
    I'm voting to close this question as off-topic because There is no claim that it has to investigate and it is impossible to prove a negative of this kind of scope. Jul 25, 2015 at 3:55

1 Answer 1


I found two interesting articles

  1. Where did the Greek bailout money go?

Only a small fraction of the €240bn (£170bn) total bailout money Greece received in 2010 and 2012 found its way into the government’s coffers to soften the blow of the 2008 financial crash and fund reform programmes.

Most of the money went to the banks that lent Greece funds before the crash.


Private bondholders saw the value of their bonds drop by 53% and took a further loss by exchanging the debt for securities with a lower interest rate.

This eliminated about €100bn of debt, but €34bn was used to pay for various “sweeteners” to get the the deal accepted. That €34bn was added to the Greek debt. Greek pension funds, which were major private lenders, also suffered terrible losses. Then €48.2bn was used to bail out Greek banks which had been forced to take losses, weakening their ability to protect themselves and depositors.

Lastly, €140bn has been spent on paying the original debts and interest.

Less than 10% of the bailout money was left to be used by the government for reforming its economy and safeguarding weaker members of society.

Greek government debt is still about €320bn, 78% of it owed to the troika. As the Jubilee Debt Campaign says: “The bailouts have been for the European financial sector, while passing the debt from being owed to the private sector to the public sector.”

  1. Who is really being bailed out in Greece?

Greece needs a cash infusion 50 billion euros ($55 billion) over the next three years to recover from its debt crisis and stabilize the economy, the International Monetary Fund (IMF) said Thursday.

But Greece already received 240 billion euros ($265 billion) in bailouts in the last five years — a sum greater than the country’s GDP. Yet that massive injection of cash has done little to mitigate the suffering of the Greek people.

More than a quarter of the workforce remains unemployed, food insecurity is on the rise, and financial analysts say the country’s public infrastructure is badly underfunded. In effect, Greek citizens are still waiting for a bailout.


It is difficult to track Greece’s expenditures with precision, but multiple analysts say roughly 90 percent of the nation’s bailout cash has been eaten up by financial institutions.

So where did all that money from Greece’s first two rescue packages go?


It is difficult to track Greece’s expenditures with precision, but multiple analysts say roughly 90 percent of the nation’s bailout cash has been eaten up by financial institutions.

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