EU Gives Greece $17 Billion In Aid

The New York Times reports:

Euro zone finance ministers confirmed Friday that they would announce the release of a $17.4 billion, or €12 billion, installment of aid for Greece on Saturday, buying the country time to avoid an immediate default.

As part of the announcement, the finance ministers said they would cancel a meeting planned for Sunday, when the conditions for a second bailout were expected to be decided, and hold a video conference Saturday instead.

The size of a second bailout for Greece has not yet been determined. But an official with the Austrian Finance Ministry, Thomas Wieser, was quoted by Bloomberg News on Friday as saying that Greece could receive as much as €85 billion in new financing, including a contribution from private investors.

Officials decided to postpone the meeting Sunday after concluding that there still existed significant disagreement among private investors about how their contributions to a second Greek rescue should be structured, according a person who was not authorized to speak publicly.