Greek bailout being mulled
WROCLAW, Poland — Greece’s international rescue partners will decide in October whether to give it a batch of bailout loans needed to keep it from a disastrous bankruptcy, the head of the eurozone finance ministers’ group said today.
The next $11 billion installment of Greece’s bailout package depends on a review of the country’s finances. But officials from the eurozone and the International Monetary Fund have delayed their assessment amid questions about whether Greece was doing enough to cut its deficit.
A delegation from the eurozone, the IMF and the European Central Bank unexpectedly left Athens on Sept. 2, delaying a much-awaited confirmation that Greece was meeting the terms of its (euro) 110 billion bailout agreed in May, 2010.
Five of the world’s top central banks moved jointly Thursday to provide unlimited dollar loans to banks, boosting confidence in the eurozone’s financial sector, which had been targeted for days by investors worried about banks’ exposure to the debt crisis.
The European Central Bank said it will coordinate with the U.S. Federal Reserve, the Bank of England, the Bank of Japan and the Swiss National Bank to offer three-month dollar loans to banks through the end of this year.
