Calamos Supports Greece
GreekReporter.comGreek NewsEconomyGreece Makes 3.2-Billion-Euro Payment to the ECB

Greece Makes 3.2-Billion-Euro Payment to the ECB

ECBGreece made a 3.2-billion-euro payment to the European Central Bank (ECB) on Thursday.
Reuters cited an anonymous Greek government senior official who was quoted as saying that “the payment was made, the funds are on their way.”
The money for this payment came from the first 26 billion euros of the third Greek bailout package that was approved by the European Stability Mechanism (ESM) on Wednesday.
13 billion euros from first instalment are destined for the country’s various debt repayments and budget financing. After the ECB bond payment, part of the remaining funds will be used to repay the country’s 7.16-billion-euro bridge loan from the European Financial Stability Facility (EFSF) issued in July. The country must also repay 1.7 billion euros to the International Monetary Fund (IMF) in September.
ESM will give an additional 3 billion euros to Greece by November. The remaining 10 billion will be used to recapitalize Greece’s banking sector.
Even though the ESM approved a Greek loan of up to 86 billion euros over three years, the exact amount that Greece will receive hinges on certain future factors.
“The precise amount of financial assistance from the ESM will depend on the IMF’s decision regarding the extent of its participation in financing the program. The IMF will make this decision following the completion of the first program review. The total amount of financial assistance will also depend on Greece’s success in implementing policy reforms, which are designed to ensure that Greece returns to market financing at reasonable cost before the program ends. Privatization proceeds may additionally reduce the overall amount of financial assistance needed,” the ESM announcement read.

See all the latest news from Greece and the world at Greekreporter.com. Contact our newsroom to report an update or send your story, photos and videos. Follow GR on Google News and subscribe here to our daily email!



Related Posts