ECONOMY

Greece aims at 2.5 bln euro buffer from state entities’ cash reserves

Greece aims to have a 2.5 billion euro buffer from the transfer of state entities’ cash reserves at the central bank in order to cover any payment needs until end May, Deputy Finance Minister Dimitris Mardas said on Wednesday.

“My target is 2.5 billion euros,” Mardas said.

“I want this 2.5 billion euros to cover any needs that may occur, I repeat, taking into account the worst case scenarios and the needs for May,” he told Star TV adding that he was confident that Greece and its lenders would reach a deal.

Greece has been tapping into the cash reserves of such entities through repo transactions. In a sign of how extreme the financial constraints on the government have become, Athens on Monday ordered state entities, to park idle cash at the central bank.

Mardas said earlier that the state is still short of 350-400 million euros to cover its payment needs in April. [Reuters]