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Greek banks to re-open Monday after a three week closure

The banks have been closed for three weeks
The banks have been closed for three weeks

Greek banks are to re-open on Monday after a three week closure. Capital controls will remain in place with a weekly withdrawal limit at €420 or €60 per day.

The move comes as Greek Prime Minister Alexis Tsipras's new cabinet was sworn in after he expelled ten dissidents who voted against reforms demanded by international creditors in return for a third bailout package.

Mr Tsipras sacked hardline former Energy Minister Panagiotis Lafazanis and two deputy ministers yesterday in a change that marked a split with the main leftist faction in the ruling Syriza party following a rebellion over the bailout terms.

The deal, approved with the support of opposition parties on Thursday after 39 Syriza rebels withheld their backing, agrees a painful mix of tax hikes, spending curbs and pension cuts as well as a roll back of collective bargaining agreements.

In addition, €50bn in public assets are to be placed in a special privatisation fund to act as collateral for loans of up to €86bn that must now be agreed with European partners.

Negotiations on the package are set to begin next week after parliaments in Germany and other European countries gave their assent and European authorities approved emergency funding that should enable Athens to avoid defaulting on a €3.5bn debt repayment due next Monday.

The European Central Bank has also agreed to release €900m in emergency credit next week to the stricken Greek banking sector.

But banks remain closed until at least tomorrow and it is still unclear whether they will be able to reopen immediately.    

Elsewhere, the Greek Prime Minister Alexis Tsipras mother said that he eats and sleeps poorly and rarely manages to see his family.

Speaking to a Greek tabloid news paper Aristi Tsipiras, 73, said: "Alexis lately does not eat, does not sleep, but he has no choice -- he has a debt to the people who put their faith in him," 

"I rarely see him any more. He goes from the airport straight to parliament. He has no time to see his children, how can he see me?" Ms Tsipras said.

"When we speak, I tell him to do the best for the country and take care of himself. He tells me not to worry, and that everything will be fine," she said.