ECONOMY

ECB funding to Greek banks drops 1.79 bln euros in November

European Central Bank funding to Greek banks fell by 1.79 billion euros in November, while emergency liquidity assistance (ELA) from the country’s central bank rose by 1.47 billion euros, the Bank of Greece said on Thursday.

Greek banks depend on central bank funding for liquidity.

Lower emergency funding from the Bank of Greece helps lenders boost their net interest income as borrowing from the ECB is about 2 percentage points cheaper than ELA funding.

ECB funding to Greek banks dropped to 60.68 billion euros from 62.47 billion euros in October, while emergency liquidity assistance from the Bank of Greece rose to 9.42 billion euros from 7.95 billion.

[Reuters]