The European Central Bank has decided to provide Greece with another €900m of emergency liquidity, easing the pressure on Greek lenders as it prepares to embark on a third tour of duty in Athens, Bloomberg reported.
That would match the €900m increase last Thursday. It isn’t enough to allow capital controls to be lifted, but should allow Greek banks to keep operating under the current restrictions for several more days.
Currently, Greek bank account holders can only withdraw €420 per week from their accounts (the equivalent of €60 per day).
The ECB has enough space to take further steps to ease restrictions on Greece's lenders should implementation of the reforms go well. That could take weeks or months, Bloomberg says.
On Tuesday, the ECB criticized Greece's draft law on transposing European bank-resolution rules, noting it
gives too much discretion over technical questions to political
authorities at the expense of the Greek central bank.
Parliament is to vote on that legislation tonight, along with an overhaul of the Code of Civil Procedure.
In the meantime, the MNI newswire has reported that Greek Prime Minister Alexis Tsipras is pondering elections in mid-September. That would allow him to get rid of the most radical left-wing elements in Syriza and reshape the party, the source says.
