News World Greek central bank seeks full lifting of capital controls in September or...

Greek central bank seeks full lifting of capital controls in September or October

Greece’s central bank has recommended to the government that it fully dismantle capital controls in September or October, a bold move to swiftly reverse emergency steps taken four years ago to protect the country’s banks during its financial crisis.

“The central bank of Greece has recommended to the government the full lifting of capital controls,” a senior official with knowledge of the matter told Reuters. “I anticipate that this will be done in the first two months of autumn.”

The newly-elected conservative government has been keen to move swiftly to reassure markets that it intends to adopt business-friendly policies to attract investment.

Athens imposed capital controls in June 2015 as Greece was embroiled in dispute with its lenders over bailout terms and its banks were bleeding cash.

At the time, the European Central Bank decided to pull the plug on emergency funding to Greek lenders, forcing a three week shutdown of banks and a 60 euro per day cap on cash machine withdrawals.

The restrictions have been gradually eased since then. The limit on cash withdrawals was fully lifted in October 2018, but restrictions on moving money abroad have remained.

At present a business requires special permission to move more than 100,000 euros per day, and the cap on an individual’s money transfers is 4,000 euros.

The Greek central bank is conducting an impact assessment study of the move which it will send to the government and lenders. It will be up to the government after that to submit legislation to parliament, the source said.

(Reuters)

Top Stories

Cats at Pancyprian Gymnasium area, Nicosia, poisoned again

Cats have been poisoned and abused again at the Pancyprian Gymnasium area in old Nicosia and the Association for the Protection and Welfare of...

British ministers prepare for social lockdown in northern UK, London

The British government is planning to enforce a total social lockdown across a majority of northern Britain and potentially London, to combat a second...

First migrant in Greek camp dies of COVID-19 since the pandemic

A male migrant died of COVID-19 late on Sunday, the first reported death of an asylum seeker since the pandemic broke out in Greece in late...

Greece calls on Turkey to condemn flag incident in Kastellorizo

Greece has called on Turkey to condemn and investigate what it said was an insult to its national flag on the Greek island of Kastellorizo. Greek...

Wealthy Britons step up citizenship shopping to thwart Brexit

The number of British entrepreneurs looking to "buy" citizenship from countries offering visa-free access to the European Union has risen sharply, investment migration firms...

Taste

Sheftalies

Sheftalies, a very tasty dish from the charcoal grill, are minced meat shaped into small sausages and wrapped in “panna” (suet). Panna is a...

Spicy grilled soutzoukakia

Place all ingredients for soutzoukakia in a bowl and mix well, preferably using a food processor, until well combined. Using the mixture, form cigar-shaped...

Souvlakia

Pork souvlaki: Put the meat and all the other ingredients in a bowl (not metal) and mix well. Cover the bowl and keep in...

Pastelli (Carob Toffee)

The nutritional sweet of Pastelli is made with the syrup of carob pods, produced by boiling their pulp until it forms a thick, sticky...