Greece relaxes capital controls, as talks on third €86bn bailout start in Athens

27 Jul, 2015 15:11 / Updated 9 years ago

The Athens Stock Exchange is expected to open on Tuesday after a three-week timeout, as a mission of creditors arrived in Athens to hold talks over the Greek three-year financial aid plan.

The Greek newspaper Kathimerini says the stock exchange will work with certain limitations imposed by the ECB, as it is worried about the banking system.

“Greek investors will be able to buy stocks either with new money (cash or transfers from abroad) or using cash available in the residual credit of brokerages,” says the source.

There will be no limitations on foreign businesses, all the restrictions may be abolished within a week, the source added. 

This continues Friday’s changes, when the daily limit on money transfers was raised to €100,000 from €50,000, covering almost 70 percent of requests. Last week, Greece reopened its banks and settled €6.8 billion in arrears to the IMF, and the ECB after receiving a €7 billion bridging loan from the EU.

Monday is seeing negotiations starting between the creditors and Athens, as last Thursday Greek lawmakers backed a second package of austerity measures demanded by the country’s lenders.

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Financial and pension issues are topping the agenda, as well as opening up the labor market and the liberalization of markets for goods and services, said the Greek Ministry of Finance Monday.

Athens intends to wrap up the talks on the €86 billion aid package by August 20, they a €3.2 billion bond repayment is due to the ECB.