On Tuesday, Japonica Partners — a U.S. entrepreneurial investment firm that makes concentrated investments in special underperforming global situations — recently completed a tender offer for the purchase of Greek state bonds.
Japonica (which says it owns Greek bonds) sent an open letter and call-to-action to public policy makers in Athens, Brussels, Frankfurt and Washington, D.C., in a campaign that was launched, entitled “Greece is A +.’’
Japonica reported “Greece made one of the most amazing adaptations of public finances, resulting in an A+ performance. This is the time to get over the economically irrational and anachronistic accounting status quo which does not allow us to show that Greece deserves an A+ rating. Its state bonds have interest rates below 5%.”
Moreover, the open letter states: “This is the time to recognize that accounting is great and it is very easy to cease obstacles in an incomparable development in Greece. Now is the time for decision-makers to efficiently support the accounting and presentation that reflects the economic reality, improving decision-making and increasing accountability.”
Greece has conquered first place, while in the last five years, the two most important indicators of economic performance, a feat many thought impossible. Greece is now ready to repeat this amazing performance by magnificent development.
Greece ranks first among the 27 EU countries — according to a report by the European Commission — regarding the structural balance as a percentage of GDP for 2013. This means that Greece has overcome world champions like Sweden with a structural surplus of around 1.2% of GDP, compared with that of Sweden, which is 0.5% of GDP.
Greece also ranks first among the 30 developing countries, according to the IMF regarding the primary balance (cyclically adjusted) as a percentage of GDP in 2014, while they were in last place in 2009. Therefore, Greece has overcome the world champions Singapore in 2014, regarding the primary balance (cyclically adjusted) to 5.4% compared with 3.3% of Singapore.