Greek banks are set to gradually reduce borrowing from the Emergency Lliquidity Assistance mechanism (ELA) as deposits stabilize following the imposition of capital controls in the country.

The Bank of Greece asked the European Central Bank, during an ECB board meeting on Tuesday, to reduce the ceiling of borrowing from ELA by 1 billion euros to 87.9 billion euros by Thursday, October 22. The Bank of Greece said that this development reflected an improving liquidity in Greek banks.