Third bailout package of Greek approved

The approval on Wednesday comes a day before Greece has to repay a 3.2 bn euro loan to the European Central Bank

The European Stability Mechanism (ESM) has approved third Greek bailout package, unlocking the first disbursement of 13 billion euros to Greece.

The approval on Wednesday came a day before Greece has to repay a 3.2 billion euro loan to the European Central Bank, Xinhua reported.

"ESM board of governors decides ESM programme for Greece, comprehensive info package will be published shortly," the ESM tweeted after a teleconference of its board of governors, comprising the finance ministers of the eurozone's 19 countries.

According to a statement released by ESM, the board of governors approved a proposal for a Financial Assistance Facility Agreement (FFA) with Greece, under which the ESM will provide up to 86 billion euros in financial assistance to Greece over a period of three years.

The board also adopted a Memorandum of Understanding (MoU) with Greece, specifying the policy measures that the Greek government has agreed to undertake in order to tackle the main challenges facing its economy, the statement said.