TEMPO.CO, Jakarta - The European Central Bank (ECB) board of governors on Wednesday, July 1, 2015 decided not to provide liquidity assistance Greek banks, a source in Greek banking said.
According to the source, the ECB is ready to intervene whenever necessary. The source added that it was the only decision made by the ECB at the meeting on Wednesday, which is the first meeting since Athena and international lender failed to agree on the bailout.
The decision means that ECB’s Emergency Liquidity Assistance (ELA) for Greece would remain accessible at 89 billion Euro (US$99.1 billion).
The ECB on Sunday, June 28, 2015, refused to increase the emergency fund for Greek Banks, forcing Athena to close its banks for a week and limit cash withdrawal to 60 Euro per day.
The debt crises had worsened on Tuesday, June 30, 2015 when the international bailout for Greece officially expired and the country failed to repay an important debt to the IMF. Greece is the first industrial country to do so, increasing a concern that it might be excluded from the euro zone.