The fifth and final tranche of loans to Greece under the third programme, amounting to 15 billion euros, will be disbursed within the coming days, the European Stability Mechanism (ESM) announced on Thursday.
The announcement follows the approval of the disbursement by the German Bundestag, which completed national parliamentary procedures to approve the Supplemental Memorandum of Understanding with Greece.
“The Supplemental Memorandum of Understanding with Greece was approved by the Board of Governors on 1 August 2018 following the completion of national parliamentary procedures. Today, the European Commission signed it on behalf of the ESM. The Supplemental Memorandum of Understanding updated the Memorandum of Understanding with Greece, which had been approved in August 2015 and last updated in March 2018. This paved the way for the Board of Directors to approve the disbursement of the fifth tranche, which is planned to be executed in the coming days,” the ESM said.
The last tranche will be mainly used to create a cash “buffer” to help ease Greece’s transition to borrowing from the markets.