Greece's state cash is rapidly drying up again

The state's cash reserves are running low once again. "The more the days go by, the more the pressure grows," according to one Finance Ministry official, as the absence of funding from the bailout mechanism is starting to have an impact.

Sources say that the state can only serve its obligations up to mid-May and at the moment there is an ongoing effort for the collection of state entity cash reserves so that they can be used as and when that is required.

Once again the government is having to manage its negotiations with its creditors amid cash woes. "The situation is not as bad as it was last year," ministry officials poignantly noted, while making it clear that the problem has already started. This month a hole of 500 million euros was filled using repos, with the Bank of Greece taking a short-term loan from state entities with available cash.

The law dictates...