(Greece) – Greece is close to receiving its first wave of bailout funds totaling 7.5 billion euros within the coming weeks. The country needs these funds to prevent them from defaulting on loan payments to the International Monetary Fund and European Bank, which are coming due in June. The European parliaments should be approving the release of funds soon, after all the finance ministers in the Eurozone confirm that everything is in order. After they do that, Athens should receive the green light after the finance ministers meet in Luxembourg next week to sign the final wave of papers. The funds will ensure that Greece will be able to make their loan payments until the end of 2016.
It is predicted that Greece will receive the first payment of 7.5 billion euros before July 23, the day that the British will vote on a referendum that will determine if they’re staying in the European Union. The money will be used to pay IMF loans, European Central Bank loans, and government arrears. The second wave of funds totaling 2.8 billion euros is set to be released in September as long as the Greek government meets a series of conditions. The European Stability Mechanism, who is Greece’s largest creditor, will be meeting on June 16 to give the final approval for the first payment of 7.5 billion euros.
A few days ago, Germany indicated that they thought Greece still had more things to do before they could grant final approval. However, they voted today in favor of releasing the first payment. It is expected that the parliaments in Austria, Finland, and the Netherlands will sign off on it soon, as well. Greece is the poorest performing country in the Eurozone right now and the general consensus is that the country needs the payments not only to stay afloat, but to give the country the best chance to thrive economically in the future.
Last month, Greece received the go ahead that the bailout package was approved. International creditors have said that Greece needs to agree to meet a series of conditions before the first wave of funds were to be released. Despite internal controversies and protests, the Greek Parliament agreed to all the austerity measures and conditions to receive the money.