(Bloomberg) -- The European Central Bank will begin phasing out collateral-easing measures linked to the pandemic starting in July this year, while continuing to accept Greek bonds until the reinvestment period of its coronavirus bond-buying program ends.
Measures introduced in April 2020 to facilitate collateral availability -- especially amid risks related to credit downgrades caused by the Covid-19 crisis -- will be gradually removed in a three-step process between July 2022 and March 2024, the ECB said Thursday in a statement.
Greek debt, which lost investment-grade status back in 2010, will continue to be accepted as collateral for loans to banks through at least the end of 2024. The move follows a December decision by the ECB to keep purchasing Greek debt via reinvestments under its emergency asset-purchase program, known as PEPP.
After starting to remove the bulk of the measures in July, the ECB will phase out the rest in two more stages -- in June 2023 and March 2024. The full timeline with specific actions can be found here.
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