Philippe Torres: Greek Banks Need to Raise Cap on Emergency Funds
The European Central Bank increased the cap on emergency liquidity for Greek lenders for the fourth time in less than a week, reports Steven Parker -Senior Analyst from financial house Philippe Torres.
Luxembourg, July 1, 2015 (Newswire.com) - Policy makers lifted Emergency Liquidity Assistance by about 1.9 billion euros ($2.1 billion) to 87.8 billion euros on Monday, and are setting the aid level almost daily as Greece edges closer to a potential default. Greek Primey’s creditors and end a five-month standoff over bailout payments that risks splitting the euro.
“The Governing Council raised the limit on the funds in a telephone conference on Tuesday,” Parker reported, “however the size of the increase is unknown to the public.” The person asked not to be identified as the call was private. An ECB spokeswoman declined to comment.
After a day of talks on Monday, leaders from Greece’s 18 fellow euro-zone countries agreed that Tsipras’s government was finally getting serious after it submitted a set of reform measures that began to converge with the terms demanded by creditors. They agreed to step up the pace of negotiations to secure a breakthrough on Wednesday that leaders can sign off at the end of the week.