Greece, not again?

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The ECB would then reconsider the acceptability of claims on the government (be they direct liabilities or guarantees) as collateral for its lending to banks. Haircuts would certainly be raised sharply. The ECB would find it particularly hard to lend against collateral supplied by a government that has defaulted to itself. The knowledge that default is imminent has already accelerated a run on the Greek banks. Without a deal, therefore, banks will soon be forced to halt withdrawals.

For Greece, a (temporary) post-dated cheque solution… | FT Alphaville

Under his scheme, people would be able to use claims on deposits, to be called “deposit receipts”, in place of the euro notes and coins they would no longer be able to obtain from their bank. This would sustain spending in such a cash-dependent economy. These deposit receipts would be established as legal tender. Within Greece, therefore, these deposit receipts would be money. Under this proposal there would be a limit on issuance, since receipts would be backed by existing deposits, one for one. Greeks would still have to make external payments in euros. The value of deposit receipts — a sort of Greek euro — would float against the euro as the demand for the latter rose and fell. Such a scheme could cushion the Greek economy against a total collapse. It could also be a precursor to full exit, should a workable deal not be reached. Given the current political impasse, such an expedient may soon be needed.

For Greece, a (temporary) post-dated cheque solution… | FT Alphaville

A "constructive" late night meeting in Brussels Wednesday between Greek Prime Minister Alexis Tsipras and senior European Union officials has opened a "window of time" to negotiate a bailout package, IMF Managing Director Christine Lagarde said Thursday. "It clearly opens a window of time during which we can hear in details from the [Greek] authorities their views" on the joint proposal put forward by Greece's creditors, the European Commission, the European Central Bank and the IMF.

Lagarde says late night talks on Greece were constructive, and open 'window of time' for deal - MarketWatch