Brussels, 27/02/2015 (Agence Europe) - On 27 February, the board of directors of the European Financial Stability Fund (EFSF) gave the go-ahead to the extension until 30 June 2015 of the Master Financial Assistance Facility Agreement for Greece (see EUROPE 11261).
The EFSF points out that following this decision, €1.8 billion that is still available under the MFFA can be disbursed to Greece until 30 June 2015, but disbursement of this last loan tranche is conditional upon the successful conclusion of the final review by the 'institutions' (ECB, European Commission and IMF). So far, the EFSF has disbursed €141.8 billion in financial aid to Greece. The availability of €10.9 billion held by the Hellenic Financial Stability Fund (HFSF) in EFSF bonds is also extended until 30 June 2015, but the bonds will now be returned to the EFSF. They can be released to Greece upon request from the European Central Bank (ECB) as the bank supervisor for the eurozone. The €1.9 billion in profits on Greek debt under the SMP programme that the ECB is to repay to Greece remains available for Greece at the EFSF, but any disbursement is conditional upon the successful conclusion of the review.
Bundestag gives go-ahead. On Friday, the Bundestag in Germany gave the thumbs-up for extension of the Greek bailout (542 voted in favour, 32 against). Calling on MPs to give the go-ahead, German finance minister Wolfgang Schäuble said that this was about giving Greece more time, rather than more money. He is quoted in French newspaper Le Monde as saying that this was exceptional aid for Greece, but the country itself must naturally also play its part. He added that pay or welfare payments are lower in some EU member states than in Greece and the Greeks should think of this when they call for solidarity. (Élodie Lamer)