On Monday Greece successfully complete its third bailout review, with eurozone finance ministers approving the a sub-tranche of €5.7 billion to be unlocked for Greece this month.
Before the money is handed over however, the decision will first have to pass through the parliaments of individual eurozone states.
The total tranche is €6.7 billion, with the additional billion euros to be given to Greece as soon as the country repays overdue debts to the private sector, and it secures full and undisturbed online home auctions.
“We are expecting the completion of national procedures and then the Board of Directors will make the final decision on the disbursement of the tranche before the end of the month,” said European Stability Mechanism President, Klaus Regling.
With Greece’s €86 billion bailout program due to end in August, on Monday Eurogroup President Mario Centeno revealed that they are working on debt relief measures and steps that will help underpin the country’s economic recovery.
Among the options being discussed is making any funds that remain unused after the bailout program ends on 20 August, estimated to be up to €27 billion, available for use, or alternatively returning profits made by the European Central Bank on Greek bonds.
Both options would come with conditions linked to reforms, and could see increased supervision by EU institutions after the bailout ends.
Greece is already showing signs of improvement, with the economy growing by 1.6 per cent in 2017, with further growth of 2.5 per cent forecast by the European Commission for this year and 2019 respectively.
To successfully exit the bailout program, Greece will be required to complete a fourth review before August. It will include 88 reform actions, including new privatisations and reform of the gas and electricity markets. Centeno said he is feeling positive about their ability to come through.
“I am confident Greece will implement all remaining deliverables to conclude the program successfully,” he enthused.