On January 16, the International Monetary Fund approved the release of the next aid tranche to Greece, amounting to € 3.24 billion. According to a press release, the disbursement was enabled following the completion of the first and second reviews of Greece’s economic performance under a programme supported by a four-year Extended Fund Facility (EFF) arrangement for Greece. Following the Executive Board’s discussion, IMF Managing Director and Executive Board Chair Christine Lagarde stated that the programme is moving in the right direction, with strong fiscal adjustment and notable labour-cost competitiveness gains.

She added that Greece has made progress with structural reforms, reflected in recent actions to reduce non-wage labour costs and reform the product market. She also emphasized the need for further efforts to restructure the banking system and overhaul tax administration, recognizing nevertheless that "Greece’s fiscal effort has been impressive by any measure." The EFF arrangement, approved on March 15, 2012, is part of a joint package of financing with euro area member states amounting to €172 billion over a four-year period.

Greek Reporter: IMF OK’s 3.24 Billion Euros for Greece