Greece secures bailout cash deal
Tuesday, 17 November 2015 20:45
Greece secures bailout cash dealImage copyrightGetty ImagesImage caption In July, Greek voters rejected the terms of an international bailout

Greece has secured a tentative deal with the eurozone to unlock the latest tranche of financial aid.

The two sides have agreed a batch of reforms that will be presented to the Greek Parliament on Thursday.

The eurozone countries insisted on the measures before releasing €2bn (£1.4bn) in loans and up to €10bn in support for the banks.

The agreement will help pave the way for further payments under the country's third bailout.

The eurozone has agreed to provide Greece with up to €86bn in total.

Like the first two bailouts, the third, which was agreed in July, came with an extensive list of conditions that Greece had to meet before it receives instalments of the loans.

It has so far received €13bn under the third programme.

The next payment had been held up by differences between the two sides over protection from repossession for home owners in arrears with their mortgages and about reforms to the banks.

These and other issues have now apparently been resolved although Greece still has work to do to put the measures it has agreed into effect.

Of the €12bn of delayed funds, €2bn is for general support for the Greek government budget. The remainder is for recapitalising the banks - repairing their financial foundations so that they can function effectively.

The banks are also asking private investors to come up with some cash, but a contribution from the bailout will also be needed.

The Greek Finance Minster Euclid Tsakalotos described it as a difficult negotiation and said the pressure to get the deal finalised came from the need to support the banks.

The eurozone has also held out to Greece the possibility of debt relief after a review of progress under the new bailout.

However, it has said that relief would come in the form of longer delays before repayments start or finish, not a reduction - or so-called "haircut" - in the amount that has ultimately to be repaid.

2012Market Buzz: Germany falters, global markets eye Spain and Greece

Investors worldwide are losing their appetite for risk, with uncertainty and indecision reigning in Europe. The region’s strongest economy, Germany, is also suffering headwinds, according to a Monday report.This week, global markets will focus thei [ ... ]

2015Vladimir Sorokin: Award-winning postmodern author turns painter

N.K.: How comfortable are you in the modern world? The present day is distinguished by features such as TV shows and social networks. Do they hold any interest for you?Vladimir Sorokin: I don’t particularly engage with either. I do sometimes log in [ ... ]

2013Russians to proudly poison themselves with their own GM food

 Russia is preparing to catch up with the world in the production of genetically modified food. Measures for the development of biotechnology and genetic engineering are laid out in the road map developed by the Ministry of Economic Development. Off [ ... ]



Classified Ads

Classified Ads