On Friday 13 July, the Border Directors of the European Stability Mechanism (ESM) gave its agreement in principle for the disbursement of the final tranche of aid of €15 billion to Athens, in the framework of the conclusion of the third and final bailout plan.
This decision follows those taken at the Eurogroup meeting of 21 June, which set out the terms for Greece to come out financial assistance programme (see EUROPE 12046). The Board Governors of the international association took a position the day before in favour of the additional moratorium, on the sidelines of the Eurogroup meeting (see other article).
The disbursement of the tranche of aid will not, however, be immediate. In fact, after Athens decided to postpone the increase in the VAT rate on five islands, one of its commitments in the framework of the conclusion of the third bailout plan, Germany has decided not to formally rubber-stamped the payment. However, Berlin is expected to do so in the near future, and Pierre Moscovici said that the transfer would “certainly” happen before the official end of the bailout programme on 20 August.
This is the case even though the government of Alexis Tsipras has undertaken to offset the loss (€28 million) due to the lack of VAT increase in the areas concerned, Klaus Regling, the Director General of the ESM confirmed at a press conference following the Eurogroup meeting. (Original version in French by Lucas Tripoteau)