BUSINESS

ESM confirms release of tranche to Greece in principle

TAGS: Economy, Diplomacy

The European Stability Mechanism's board of directors on Friday approved, in principle, the release of the final bailout tranche to Greece, worth 15 billion euros. 

In a statement released on Friday, the ESM's board said that the sum would be disbursed to Greece "subject to the completion of national procedure." 

"Once the national procedure is concluded, the disbursement will follow swiftly well below the end of the ESM program," the statement said.

On Thursday, ESM chief Klaus Regling said that the release of the money would be delayed until August, noting that Greece has been asked to find alternative measures to offset the 28 million euros in losses arising from the extension of a value added tax discount for the Aegean islands. 

"Hopefully the reservation by Germany can be lifted in early August, so that we can make our final big disbursement of 15 billion euros," Regling said. 

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