Dromeas bucks trend.
uidity buffer has risen thanks to cash inflows and central bank help, two sources familiar with the situation told Reuters. The bank liquidity buffer has grown to about 5 billion euros from 1 to 2 billion euros at the height of Greece’s debt crisis, thanks to two emergency liquidity assistance (ELA) increases from the ECB, tax and tourism inflows, and pension payments, said one of the sources, who asked not to be named. The capital controls have stopped the exodus of cash. And the increase in the buffer indicates that money is leaving banks slower than feared and they retain at least some confidence. “There’s been relative little outflows and there was actually a week in July when there was a net inflow into the banks,” one source said. Another source close to the process added: “There is an adequate liquidity buffer. There is no reason to ask for an increase in the ELA cap.” The ECB increased ELA to Greek banks twice in Ju- ly by 900 million euros each time and ELA is now capped at around 91 billion euros, of which about 5 billion is unused. The ECB is due to discuss ELA again tomorrow, when the governing council holds a non-policy meeting. Last week, Greece did not ask for an increase, a sign the banks were stabilizing.
While most of the Greek stock market was dropping, shares of the furniture maker Dromeas soared almost 29 percent yesterday after clinching a 30-million-euro deal to supply European Commission offices. Dromeas closed at 0.147 euros, a 28.9 percent increase from its previous close of 0.114 euros. The company announced on July 29 – during the five weeks the stock market was closed – that it had won an international tender to supply all EU offices over a five-year period. It had won a similar tender in 2009.