Greek government and the Euro zone creditors have secured a deal of bailout extension of 4 months in late Friday.
Important takeaways-
- Greek government will get the rest € 7.2 billion aid package, the final tranche of current bailout programme if the deal is successful.
- To secure the bailout extension the Greek government will be required to come up with a series of reform and budget cuts to TROIKA (ECB, IMF, European Commission) today, 23rd February.
- Tomorrow, 24th February European finance ministers will reconvene to finalize the deal.
- A success deal would keep the Greek government, especially the banks afloat in the midst of a heavy deposit withdrawal of approximately € 2 billion/week.
- Despite the scheduled time frame, a negotiation could extend beyond Tuesday as the bailout officially does not expire till February 28th.
The Euro has taken the news with pinch of salt, currently trading around 1.135 against the Dollar. The pair is still treading water within its tight range of 1.127-1.145. Depending on the outcome the pair could move into its larger range of 1.11-1.165.


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