On Thursday the Bank of Greece (BoG) announced that the European Central Bank (ECB) has lowered the emergency funding cap for Greek banks to 45.3 billion euros.

The emergency funding has been a life line to Greek banks as they have relied on emergency liquidity assistance (ELA) since February 2015, even though borrowing from the fund is more costly than borrowing from the ECB directly.

The BoG said that the ELA ceiling is valid until June 8 and that this move by the ECB has come about due to liquidity conditions and Greece’s private sector deposit flows, according to Reuters.

Source: greece.greekreporter.com