Exclusive: Greek bank bailout funds depend on business plan, stress test

[WorldNews]

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FRANKFURT/BRUSSELS (Reuters) - Initial bailout funds for Greek banks will be placed in a special account not on their balance sheets and lenders will receive fresh equity only after a "stress test" is finished by the end of October, several sources told Reuters on Wednesday. An initial 10 billion euros will be made available "immediately" to shore up confidence in the Greek banks, several sources said, while authorities conduct a detailed asset quality review, that is expected to take several months. Greek banks will also have to submit viable business plans to European authorities before fresh equity is disbursed and will only receive cash from the special account, which will be controlled by the European Stability Mechanism, once resolution authorities sign off on the plans, the sources, who asked not to be named, said.

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