The European Stability Mechanism said that it has approved “in principle” the disbursement of the €15 billion to Greece. Ignoring the approval by 18 eurozone member state, Germany blocked the last bailout tranche at the Eurogroup on Thursday, expressing reservations about a fiscal hole of 28 million euros that will be created after the government decided to postpone Value Added Tax hikes on five islands hit by the migration crisis.
In its statement the ESM said it approved the disbursement “in principle” but it will wait for … Germany.
After the shock on Thursday evening, Greek Defense Minister, Panos Kammenos, announced on Friday morning that part of the 28 million euros could come from an overhaul in the country’s defense sector.
PS In principle we don’t need the money that our creditors with principles have approved in principle but they do not disburse following German principles. Another 15 billion tranche means a new loan burden for Greeks – even my cat knows that.