11 Apr 2014

Bond issue by Greece hailed by IMF

9:13 am on 11 April 2014

The head of the International Monetary Fund says a successful bond issue by Greece shows the troubled economy is approaching the end of its crisis.

The ministry of finance has raised 3 billion euros in its first bond issue in four years.

IMF managing director Christine Lagarde said the issue was massively oversubscribed and was an indication Greece is heading in the right direction.

"(However) There is still a lot to be done,'' she said. ''The programme is not over, but this is a clear indication that the return to markets, which is clearly the objective of any IMF program, is on the horizon," she said.

Greece was frozen out of debt markets in 2010 after it revealed public accounts had been falsified and asked the IMF and European Union for a bailout.

The BBC says many people are investing in Greece, despite it not being out of the woods, because they believe the eurozone would bail the country out rather than see it default.