LONDON (MNI) – Greece confirmed Tuesday that it has received its
first tranche of aid from fellow Eurozone states, totaling E14.5
billion.

The payment was received from the European Commission through the
European Central Bank.

In an e-mailed statement, the Ministry of Finance said: “Today’s
release together with the amount of E5.5 billion disbursed on May 12 by
the International Monetary Fund covers the first tranche of E20 billion
in the support mechanism totaling E110 billion for Greece agreed with
Eurozone and the IMF under the three-year economic and financial policy
program.”

“These disbursements cover the immediate and short-term financing
needs of the Hellenic Republic”, added the press release.

The E110 billion program is separate from the E750 billion package
agreed on May 9 by the Eurozone, EU and IMF. Those funds, which have not
yet materialized, are intended to support other European countries that
might run into difficulties similar to those faced by Greece. The
funding is to include loans and loan guarantees.

The package is to feature a E440 billion “special purpose vehicle,”
which would provide loans and loan guarantees from Eurozone states and
requires approval by national parliaments. It also includes an
additional E60 billion addition to an already-existent EU stabilization
fund, and a matching amount of up to E250 billion, if needed, from the
IMF.

Today’s tranche of Greek aid comes ahead of Greece’s forthcoming
bond redemption on May 19 for E8.466 billion and coupon payments
totaling E2.3 billion between May 18 and May 20.

The Eurozone aid included in the first tranche breaks down as
follows, the Greek Finance Ministry said:

Eurozone country Amount

KfW – Germany 4,427,870,552.22
France 3,325,164,236.57
Italy 2,921,922,720.93
Spain 1,941,619,822.56
The Netherlands 932,510,618.54
Austria 454,003,276.67
Portugal 409,274,004.99
Luxembourg 40,847,902.58
Cyprus 32,009,604.25
Malta 14,777,260.69
TOTAL 14,500,000,000.00

–London newsroom, Nick Shamim; nshamim@marketnews.com

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