The ECB stays on the sidelines in this non-monetary policy decision regarding Greek collateral and emergency liquidity assistance. They continue with the ELA for another two weeks and enlarged it from 65 to 68.3 billion euros. An extension was expected as long as talks continue.
These bi-weekly meetings were not events until the recent crisis. The ball remains in the court of politicians, and Greece is expected to submit an application of sorts. Will this fly? We’ll know soon enough.
We noted earlier that a summit between Tsipras and Merkel might be needed in order to resolve the current crisis.
The assumption is that the small debt struck country will stay within the euro-zone. This could send the euro higher only temporarily, as the ECB’s QE is set to weigh on the common currency.
Here is the initial report about the move:
#ECB Approves ELA for Greek Banks of €68.3bn for a Period of 2 Weeks, DJ reports. /via @#ECB#ECB
