We’ve decided to raise emergency funds to Greek banks

The Greek parliament approved the measures in a vote, that fractured Mr. Tsipras’s ruling Syriza party, which was elected in January on an anti-austerity platform, only to betray it this week. He suggested, that Greece might be better off, leaving the euro, which would allow its creditors to write down its debt.

The finance minister, Alexander Stubb, said Finland would not accept a “haircut” on Greek debt, but was open to other options. “One will try to find a solution”. The crucial difference between now and 2012 is that now there is no appetite to do “whatever it takes” to save Greece, which could have large ramifications for the future of the currency bloc as we know it.

For them, the main sources of raising cash are government stakes in Greek banks, companies, ports and selling its 200 plus government-owned buildings.

Draghi offered more support by saying that debt relief of some sort for Greece was “uncontroversial” and that the European Central Bank “continues to act on the assumption that Greece is and will remain a member of the Eurozone”. A pressing issue for Greece is how it can obtain billions of euros in quick funds to pay the European Central Bank EUR4.2 billion to redeem the bonds it holds, plus interest. It now doesn’t have the money to do so. “I think we should focus on this”.

“Were it not for Greece, the European Central Bank would be enjoying a gradual, domestically-driven, QE-boosted Eurozone recovery while keeping a cautiously optimistic tone at its regular policy meeting on Thursday”, Credit Agricole said in a note.

Months of standoffs over aid and austerity between Prime Minister Alexis Tsipras and creditors have led to deposit flight and capital controls, pushing Greece to the brink.

“The European Central Bank “in fact triggered the banking crisis“, said Paul De Grauwe, professor at the London School of Economics”.

“A bank run” “So I find these observations that there wasn’t enough liquidity assistance or that there was a bank run caused by the ECB quite unwarranted, certainly unfounded”, he said, adding that the ECB’s provision of emergency liquidity was “never meant to be unlimited and unconditional”.

Draghi also weighed in on the increasingly contentious conversation around providing Greece with debt relief. Such a government, comprising all the major parties, “may prove to be the only way possible” to secure bailout funds, Rahman said.

“The systemic importance of Greece for the entire euro zone hasn’t been demonstrated”, said Christian von Stetten, a member of Merkel’s Christian Democratic Union.

The ELA – which has kept Greek banks, and by extension the economy, afloat – has been fixed at around 89 billion euros since late June, but would be topped up with an additional 900 million euros, Draghi said.

The daily limit of Euro 60 for cash withdrawals will remain in force, but account holders will now be able to skip going to an ATM one day and withdraw Euro 120 the following day.

Last month, Greece defaulted on a two-billion-euro (USD three-billion) debt payment to the International Monetary Fund and was at risk of being forced to leave the Eurozone if it failed to reach a deal with its creditors over the debt crisis.