Greece’s creditors started scrutinizing the first budget draft and the course of the state’s overdue arrear repayment and the bankruptcy bill on Monday, while a Bank of Greece proposal for a bad bank will also be discussed.
The Greek economy’s eighth post-bailout assessment will be brief on mission chief level and is to be completed today via video conferences. It follows detailed preparations at the staff level, with the prevailing sense at the Finance Ministry being that of a favorable climate.
This assessment is considered especially important as it is related to the disbursement of the earnings from the eurozone central banks’ holdings of Greek bonds (SMPs and ANFAs). It is therefore crucial for Athens that it comes a positive conclusion, something that would require a nod from the European Stability Mechanism on the payment of state debts.
On behalf of the European Central Bank there is a new mission chief, Martin Bijsterbosch, who is succeeding Francesco Drudi after four-and-a-half years, though Drudi participated in Monday’s talks. According to a statement from the ECB he will also continue to offer his expertise.