Greece’s government and heads of missions of international lenders reached an agreement after multi-day marathon negotiations. This agreement opens a way to repayment of loan tranche in the amount of EUR 2 billion and allocation of EUR 10 billion for recapitalization of banks, Prime reports. 

One of the rounds of negotiations ended late at night.

“We have reached agreement on all items and 48 preliminary actions”, stated the Minister of Finance Euclid Tsakalotos.

The list of so-called “preliminary actions” includes measures, which Greece’s government should perform for obtaining loans.

It is expected that the draft law with a range of measures, including protection from auction sale of the only residence of borrowers, prices of generic drugs, repayment of overdue loans, transport tax and VAT for certain goods and services instead of tax on private education, will be brought before parliament on Tuesday and put to vote on Thursday, the agency reports.

On Tuesday the Eurogroup Working Group was informed about agreement and on Friday the Eurogroup’s positive decision on allocation of EUR 2 billion is expected.

According to the representatives of the Ministry of Finance, the payment of EUR 10 billion for recapitalization of banks is expected later, as primarily it is necessary to close the book of bank applications for Eurobonds within capital increase, and the final amount will vary depending on the needs of banks.

On Wednesday, the second set of preliminary actions, necessary for allocation of tranche in EUR 1 billion, will be discussed with representatives of lenders.