REUTERS
Greece may seek EUR 24 billion in a first disbursement of bailout aid from its international lenders in August to prop up its banks and repay debts falling due at the European Central Bank, according to Reuters citing pro-government Greek Avgi newspaper.
Talks between Greece, the European Commission and the International Monetary Fund are underway to secure up to EUR 86 billion ($94.48 billion) in bailout assistance. It will be the country’s third bailout since 2010, Reuters reported.
Greek authorities are expected to conclude the talks by mid-August, according to Avgi
The first tranche of EUR 24.36 billion would be used to channel EUR 10 billion as an initial recapitalization to Greek banks, EUR 7.16 billion to repay an emergency bridge loan, EUR 3.2 billion toward Greek bonds held by the ECB and other payments, Avgi said.
It has been estimated that Greek banks may require up to EUR 25 billion for recapitalization.
The flood of money leaving the country culminated when the authorities imposed capital controls on June 29 to prevent a financial meltdown.