Greek crisis: The ECB to take the reins

Given the hard situation that Greek banks are facing, there are strong chances that the ECB will keep or even increase the ELA – currently it amounts to EUR 60 billion after being increased recently.

Such move from the central bank would be well acclaimed by the markets, analysts at Link Securities commented on Monday, since it would mean an ECB endorsement of the ongoing negotiations.

If the Greek authorities had not taken the Eurogroup’s offer ELA would had probably been shut down, increasing the need to set up capital controls to avoid capital flight out of Greece, and Greek banks would likely have to introduce limits on cash withdrawals.

About the Author

Ana Fuentes
Columnist for El País and a contributor to SER (Sociedad Española de Radiodifusión), was the first editor-in-chief of The Corner. Currently based in Madrid, she has been a correspondent in New York, Beijing and Paris for several international media outlets such as Prisa Radio, Radio Netherlands or CNN en español. Ana holds a degree in Journalism from the Complutense University in Madrid and the Sorbonne University in Paris, and a Master's in Journalism from Spanish newspaper El País.

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