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11 Mar 2015
Greece Receives €0.5B Liquidity Lifeline
FXStreet (Mumbai) - The European Stability Mechanism (ESM) has confirmed that it has agreed to throw more than a half-billion-euro liquidity lifeline to debt-stricken Greece.
The latest EUR555 million cash injection comes from preferential shares the Greek state used to recapitalise banks at the height of the financial crisis and from money later poured into the Hellenic Financial Stabilisation Fund (HFSF) as part of an effort to recapitalize Greek banks.
This cash injection comes ahead of the administration EUR1.5 billion of its debt repayment to the International Monetary Fund (IMF) this month, as well as refinance some EUR3.2 billion of maturing short-term debt.
The administration has already taken up some emergency measures, including halting all non-essential payments.
The latest EUR555 million cash injection comes from preferential shares the Greek state used to recapitalise banks at the height of the financial crisis and from money later poured into the Hellenic Financial Stabilisation Fund (HFSF) as part of an effort to recapitalize Greek banks.
This cash injection comes ahead of the administration EUR1.5 billion of its debt repayment to the International Monetary Fund (IMF) this month, as well as refinance some EUR3.2 billion of maturing short-term debt.
The administration has already taken up some emergency measures, including halting all non-essential payments.