The European Central Bank (ECB) has agreed to increase emergency funding for Greek banks, after their customers withdrew more than $4 billion in the past week.

The additional ECB funding is reported to be up to $3.4 billion to keep Greek banks afloat only until Monday, when more funds may be needed and as finance ministers of 19 Eurozone countries are expected to meet in Brussels.

Contacted by VOA by phone, an ECB official neither confirmed nor denied the so-called emergency liquidity assistance, saying that it is the bank’s policy not to comment on financial transactions with other banks, in the present case, with the Greek banks.    

The new ECB funding is a last-minute effort to strike a cash-for-reform deal with Athens.

Economic powers outside the Eurozone are following the situation with growing alarm.

‘Urgent need’

The United States said that there is “an urgent need for both Greece and its international partners to take steps towards compromise.”

French President Francois Hollande said that everything must be done to resolve the Greek debt crisis based on European rules.

EU President Donald Tusk called the emergency summit of EU finance ministers for Monday after finance ministers of Eurozone countries failed Thursday to reach an agreement with Greece.

The Monday meeting could determine whether international creditors will unlock another $8.2 billion in bailout funding ahead of a June 30 deadline, by which Greece has to repay $1.8 billion to the International Monetary Fund.

Greece has also to repay the ECB itself another $7.6 billion in July and August.
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