BRUSSELS (MNI) – The European Commission on Thursday said that the
E4.2 billion aid payment to Greece released by the European Financial
Stability Facility (EFSF) was enough to cover all of Greece’s current
financing needs.
The Greek state’s financing needs are “covered and the state can
continue to function properly,” a spokesman for the Commission said.
The EFSF on Wednesday evening approved a E5.2 billion payment but
said e1 billion of that sum was not needed by Greece before June and so
would be “disbursed depending on the financing needs of Greece.”
According to the Commission spokesman, “it is not unusual for the
EFSF to make disbursements according to needs.”
This latest aid payment was the last to come from the E39.4 billion
amount approved by Eurozone finance ministers in March that is due to be
paid by June, so there is “no need for the Eurogroup to get back to this
issue,” the Commission spokesman said.
Under the terms of the second bailout programme by Eurozone
governments and the IMF, payments to Greece are subject to quarterly
reviews by inspectors from the European Commission, the International
Monetary Fund and the European Central Bank.
The next quarterly assessment mission, scheduled for May or June,
however, will not take place until a government in Greece is formed.
After elections over the weekend left no party with a strong
position to form a government Greece faces the prospect of a repeat
election, possibly on 17 June.
Some Eurozone governments are understood to be concerned by the
success of Greek parties opposing the tough fiscal and structural
reforms set as conditions of the country’s aid package and may want to
delay future payments until they are reassured of Athens’ commitment.
–Brussels newsroom: +324-9522-8374; pkoh@marketnews.com
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