ATHENS Oct 5 The European Central Bank lowered
the cap on emergency liquidity assistance (ELA) Greek banks draw
from the domestic central bank by 100 million euros to 51.8
billion euros ($58.08 billion), the Bank of Greece said on
The move reflected improving liquidity conditions in Greek
banks and the stabilisation of private sector deposit flows, it
said. The ELA ceiling is valid up to October 20.
Greek banks have relied on emergency liquidity assistance
(ELA) since February 2015 after being cut off from the ECB's
funding window. Emergency funding is more costly than borrowing
directly from the ECB.
In June the ECB reinstated Greek banks' access to its cheap
funding operations, allowing lenders to reduce their dependence
on the emergency liquidity lifeline.
($1 = 0.8919 euros)
(Reporting by George Georgiopoulos)