A compliance report submitted by the Commission to the EuroWorking Group regarding the first review of the Greek program is, in principle, positive, according to a Community source in Brussels on Monday.
By N. Bellos
A compliance report submitted by the Commission to the EuroWorking Group regarding the first review of the Greek program is, in principle, positive, according to a Community source in Brussels on Monday.
The report is based on a recommendation by Greece’s institutional creditors.
A closely watched EWG teleconference meeting is scheduled for Monday in the Belgian capital to focus on the Greek program (third bailout).
The same source said that individual EZ member-states must now be briefed, in order to allow for the last procedure before a 7.5-billion-euros loan tranche is disbursed to Greek coffers.
Five euro zone members’ Parliaments will need to ratify the first review, a procedure expected to conclude by early next week. Afterwards, ESM head Klaus Regling will recommend to the mechanism board of directors that the loan money is released.
The current tranche is expected to cover Greek state obligations to the private sector and Athens’ current budget needs, while a remaining 2.8 billion euros, the second tranche of the 10.3-billion euro package, is slated for early autumn. However, the leftist Greek government must proceed with certain prior actions stemming from the current review before the second tranche is released.