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Abu Dhabi, UAEMonday 10 December 2018

Greece to ease capital controls, and raise cash withdrawal limit

Decision will come into effect once published in government gazette

A group of tourists pose for a picture in front of the temple of the Parthenon atop the Acropolis in Athens, Greece, in July 2015. The country said this week it will raise the monthly limit of cash that can be withdrawn from bank accounts as part of measures to ease capital controls imposed three years ago. Reuters
A group of tourists pose for a picture in front of the temple of the Parthenon atop the Acropolis in Athens, Greece, in July 2015. The country said this week it will raise the monthly limit of cash that can be withdrawn from bank accounts as part of measures to ease capital controls imposed three years ago. Reuters

Greece will raise the monthly limit of cash that can be withdrawn from bank accounts to 5,000 euros from 2,300 euros as part of measures to ease capital controls imposed three years ago, the government said on Thursday.

The Finance Ministry’s decision will come into effect once it is published in the government gazette.

Athens first imposed capital controls in the summer of 2015, to stem a flight of cash from its banks at the height of a debt crisis which led to its third financial bailout since 2010.

The ministry will also raise the limit of cash, in euros or foreign currency, that can be taken abroad in banknotes to 3,000 euros from 2,300 euros previously.

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As part of the easing, the ministry said, banks would be allowed to accept customer orders for money transfers abroad for up to 4,000 euros bi-monthly, effective from July 1.

The new regulations also increase the limit of money that can be sent abroad by legal entities as part of their business transactions to 40,000 euros from 20,000 euros daily.

“The decision is one more step along the roadmap towards a full relaxation of capital controls,” the ministry said.