According to unnamed Eurozone officials cited by several major newspapers, the tranche will only be paid after the Greek government fulfills all 15 prior actions as agreed according to the bailout program.
Among other requirements, Athens needs to fast forward on the appointment of new managements for the Greek banks under strict preconditions set by the international creditors and move on with the new “super-fund” that will replace the existing structure (TAIPED) for privatizations.
The Greek government has assured Brussels that the 13 pending prior actions will be completed by end-September, when the next meeting of the Euro Working Group is scheduled and definitely by the following Eurogroup on October 10. The Prime Minister Alexis Tsipras has said in a mini cabinet earlier this week that implementing the prior actions is a top priority for the government.
The original schedule had provided for all prior actions to be completed by September 15, though the ultimate deadline is the end of October, as the 2.8 billion euros will no longer be available after that time. According to sources however, Greece does not face a liquidity problem this time. Representatives of Greece’s international lenders are expected in Athens in mid-September to pave the way for the second review, which is going to focus on labor issues.
Meanwhile, the German Chancellor Angela Merkel and the Greek Prime Minister spoke on the telephone ahead of the European Council taking place also in Bratislava on September 16, government sources said on Wednesday.
In preparation for the summit, Ms. Merkel is inviting EU member-state leaders to visit Berlin in groups. Mr. Tsipras will not be able to attend due to his prior engagements at the Thessaloniki International Fair and the meeting of the Mediterranean EU countries in Athens; therefore it was decided that they should speak on the telephone instead.
Informal Eurogroup in Bratislava – Greece not on the main agenda
The Slovakian capital will host an informal Eurogroup on Thursday; Greece is not on the main agenda and no conclusions are expected on the 2.8 billion euro tranche of the latest bailout package
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