Athens stock market will reopen today after a five-week shutdown. The reopening of the market comes after senior European Union and International Monetary Fund auditors held their first meetings with Greek ministers to finalise the new three-year 86 billion Euros bailout package plan. The resumption of trading in Greek stocks is the latest step towards economic normality. The last trading session on the Athens stock exchange was on June 26, a few hours before Prime Minister Alexis Tsipras announced a referendum on the stringent bailout conditions demanded by Greece's international creditors. In response, worries Greeks rushed to withdraw cash from ATMs, prompting the government to impose capital controls from June 29 and announce the closure of the country's banks and the stock exchange. The banks reopened on July 20, but withdrawals and money transfers abroad remain restricted. Greeks can currently withdraw only up to 420 euros a week. From today, the stock exchange will operate as normal for foreign investors but local traders will still face limits on their transactions as part of the capital controls imposed by the government. Bank shares are expected to be particularly affected as the country's lenders are in a vulnerable position because of outflows of billions of euros from deposits over the past six months. According to country's banks association, some 40 billion euros has been withdrawn from Greek banks since December.
News On AIR | August 3, 2015 8:05 AM
Athens Stock Exchange to re-open today five weeks after Greece imposed capital controls amid debt crisis