ECB keeps ELA limit unchanged
FRANKFURT (Reuters) – The European Central Bank kept emergency liquidity assistance (ELA) for Greek banks unchanged as expected yesterday, a source with knowledge of the decision told Reuters. Greece, which is negotiating an 86-billion-euro bailout from international lenders, has relied on ELA for months to keep its banks functioning, while also introducing capital controls and a limit on withdrawals in late June. ELA is now capped at around 91 billion euros but sources familiar with the situation said earlier that banks have built up a liquidity buffer of around 5 billion euros, thanks to previous ELA increases, tax and tourism inflows, and pension payments. Greek ELA will be next be reviewed in two weeks, the source added.