Venizelos: "No liquidity problems until mid-November"

Moments ago, at an urgent press conference that started at 13:15, finance minister Evangelos Venizelos stressed that Greece will not face liquidity problems until mid-November.

He also stressed that the issue with Europe is not the release of the 6th tranche, but to convince the markets that there is a globally sustainable solution to the debt. He reiterated that there is no bankruptcy plan or a case of Greece exiting the euro as clarified by all relevant officials in the Eurogroup.

Venizelos added that no depositor in the world is more assured than Europeans, and therefore the Greek depositor as well, and that the famous guarantees will be provided through the issuance of bonds worth of 880 million euros by the Greek government.

As protothema.gr reported this morning, the state cash barely covers the salaries of civil servants for October 13. On the14th, the government will attempt to borrow up to 2 billion in treasury bills. From this, it must pay 0,5 billion for the state pensions and be ready to meet any requirements of insurance funds that will pay about 2 billion to pensioners of other funds.

Meetings have started since early in the morning at the finance ministry in view of Venizelos’ announcements at 1pm. According to information, they are even thinking of turning to the regular budget reserve (about 250 million), or even the temporary one, which according to estimates amounts to more than 1 billion but is reserved for natural disasters, urgent and unforeseen needs that cannot be met in any other way.

Regarding the last case, it is more likely they will postpone wage (15-45 days) and pension (10-30 days) payments, rather than tampering with the contingency reserve.

Venizelos called on officials of public administration and citizens to make every effort to meet this year’s fiscal targets. "I urge society and public administration to do their best" he said, referring indirectly but clearly to the tax obligations of citizens and the efficiency of public servants.

He highlighted that “the Eurogroup discussed Greece yesterday, but in a friendly way and not against our country". "In less than two years, Greece has shown impressive financial adjustment. Everyone respects the effort of the Greek people”, he added.