The European Central Bank decided to increase the amount of emergency liquidity assistance (ELA) that can be provided to Greek banks, according to media reports.
The ECB authorized the ELA as a temporary expedient when it stopped accepting Greek bonds as collateral for funding last week. Following a teleconference, the Governing Council decided Thursday to boost the amount that Greek banks can access by €5 billion, taking it to €65 billion from €60 billion.
The ECB decided earlier this month not to longer accept junk-rated Greek government debt as collateral for funding loans, but said the banks could continue to tap funding via ELA, which is administered by the Greek central bank.
On Wednesday, Eurozone finance ministers failed to agree on a joint statement about Greece’s debt situation as pressure increases on the Hellenic country to take an extension of the current bailout program which ends on Feb 28.
On the other hand, Greek PM Tsipras rejects any extension of the €240 billion package and to cooperate with the troika as he demands a debt "haircut".
The ECB authorized the ELA as a temporary expedient when it stopped accepting Greek bonds as collateral for funding last week. Following a teleconference, the Governing Council decided Thursday to boost the amount that Greek banks can access by €5 billion, taking it to €65 billion from €60 billion.
The ECB decided earlier this month not to longer accept junk-rated Greek government debt as collateral for funding loans, but said the banks could continue to tap funding via ELA, which is administered by the Greek central bank.
On Wednesday, Eurozone finance ministers failed to agree on a joint statement about Greece’s debt situation as pressure increases on the Hellenic country to take an extension of the current bailout program which ends on Feb 28.
On the other hand, Greek PM Tsipras rejects any extension of the €240 billion package and to cooperate with the troika as he demands a debt "haircut".
