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

UK helps employers with slow phase-in of job shield costs

British finance minister Rishi Sunak offered fresh help to employers hit by the coronavirus shutdown on Friday, announcing that future contributions they must make...

One new Covid-19 case from repatriations

There was one new Covid-19 case in Cyprus, the Health Ministry said on Friday, from a total of 2363 tests, bringing the total number...

Limassol: Dead body found in warehouse

  A body has been found in the light shaft of a warehouse on Nicos Georgiou street in Limassol, philenews reports. It said the body of...

Holy Synod to allow weddings during pre-Christmas fasting period

As a result of Covid-prompted wedding postponements, the Holy Synod has decided to allow wedding ceremonies during the pre-Christmas fasting period this year until...

President to discuss phase 3 with scientific advisors on Tuesday

  The team of scientists advising the government on the coronavirus outbreak are due to hold a new meeting with President Nicos Anastasiades on Tuesday...

Taste

Local cuisine: An introduction

Rich in fresh ingredients and tasty herbs, offers the very best of Mediterranean culinary delights. Head out to a tavern and feast on a...

Spiced lamb with beetroot salad and scented yoghurt

Lay the lamb on a tray, skin side down. Rub with crushed garlic, sprinkle with spices and ground pistachios, wrap in plastic wrap and...

Easy seafood pasta with white wine sauce

Ingredients: 2-3 tbsp olive oil 1 garlic clove, chopped 2-3 tablespoons of whipped cream 1/3 cup white wine 300g spaghetti, roughly broken 300-400g of...

Traditional salads that will blow your mind away

This traditional salads will make you actually love salads! Cyprus may be famous for souvla and kleftiko but if you try the traditional salads with...