ESM approves 8.5 billion tranche to Greece

7 July 2017
1530 Views

The European Stability Mechanism ESM) board of directors announced the approval of the third installment of the Greek bailout programme, amounting to € 8.5 billion, via its Twitter account. “#ESM Board of Directors approves €8.5 billion loan tranche to #Greece”, read the post. The announcement was posted on the body’s official site:

The Board of Directors of the European Stability Mechanism (ESM) today approved the third tranche of €8.5 billion of ESM financial assistance to Greece. This follows the approval of the Supplemental Memorandum of Understanding by the ESM Board of Governors and the Greek government’s completion of all prior actions last Wednesday.

The first disbursement under this tranche will amount to €7.7 billion, and is expected to be made by the ESM on Monday. Out of this amount, €6.9 billion will be used for debt servicing needs and €0.8 billion for arrears clearance.

ESM Managing Director Klaus Regling said: “Today’s decision by the ESM Board of Directors shows that Greece has completed the reforms required at this stage. The government and people of Greece deserve recognition for having come a long way in returning to fiscal sustainability and economic growth. The government should continue on this path to rebuild a competitive economy and regain investors’ trust.”

A further disbursement for arrears clearance of €0.8 billion may be made after 1 September 2017 subject to Greece making significant progress on arrears clearance, using its own resources to the arrears clearance effort as well as the funding from the disbursement approved today. It is subject to a further decision by the ESM Board of Directors.

After the disbursement approved today, ESM financial assistance for Greece will reach €39.4 billion, out of a total programme volume of up to €86 billion. Together the ESM and the EFSF have so far disbursed €181.2 billion to Greece (including the amount approved today), making the rescue funds the largest creditors to Greece by far.

The ESM Board of Governors comprises the finance ministers of the ESM Members. The ESM Board of Directors comprises deputy finance ministers and other high finance ministry officials of the ESM Members.

You may be interested

ELSTAT revises surplus down – Deficit at 9.7% in 2020
GREECE
shares10 views
GREECE
shares10 views

ELSTAT revises surplus down – Deficit at 9.7% in 2020

Panos - Apr 23, 2021

Despite the unprecedented global recession, the General Government deficit in 2020 was kept in the single digits. According to the…

Visit the Greek island in the 100 most impressive list in the world (video)
TRAVEL
shares12 views
TRAVEL
shares12 views

Visit the Greek island in the 100 most impressive list in the world (video)

Panos - Apr 23, 2021

Ios was recently included in the list of the most impressive islands in the world on the news site Insider.com.…

Daily Mail files anti-trust lawsuit against Google
WORLD
shares20 views
WORLD
shares20 views

Daily Mail files anti-trust lawsuit against Google

Panos - Apr 23, 2021

MailOnline/DailyMail.com is suing Google for alleged anti-competitive behavior over the search giant’s ability to exploit its dominance in the ad tech industry…

Leave a Comment

Your email address will not be published.