ESM releases 7.5 billion euros to Greece

Greece on Thursday secured the release of 7.5 billion euros in bailout loans, paving the way for the disbursement of the funds next week and the restoration of a waiver to the rule preventing Greek banks from tapping cheap liquidity from the European Central Bank.

Eurozone finance ministers approved the release of the funding following talks in Luxembourg, deeming that Greece had fulfilled its pledges for economic reform.

“This is a welcome breath of oxygen for the Greek economy,” European Economic and Monetary Affairs Commissioner Pierre Moscovici told reporters after the meeting.

The cash is to be disbursed early next week, well in time for Athens to meet debt repayments to the ECB and the International Monetary Fund in July. Of the 7.5-billion-euro tranche, 1.8 billion euros is to go toward paying off some of the state’s debts to suppliers.