Capital controls to remain when Greek banks reopen - closure cost runs to billions

When Greece banks reopen on Monday 20 July after their three-week closure withdrawal limits will be raised, but capital controls will remain in place, a government decree stated on 18 July.

The decree laid down a new cumulative weekly cap on withdrawals of €420 (£290), with the daily limit remaining at €60.

To assist Greek students abroad the decree allows the electronic transfer of up to €5,000 per quarter. People receiving health treatment overseas will be able to withdraw up to €2,000 in cash.

A wide range of capital controls will remain in place. They include a ban on capital transfers, as well as a bar on opening new accounts and the addition of new depositors to existing accounts.

The decree also permits the Bank of Greece to limit the amount of cash which can be carried out of Greece, whether in euros or other currencies.

The new sales tax hikes which were agreed with the country's creditors in return for the three-year bailout will be implemented from 20 July.

The banks were closed on 29 June when Alexis Tsipras's government called a referendum over the austerity demands of Greece's creditors.

How much the three-week shutdown has cost the struggling economy is unknown. But on 18 July Greece's Kathimerini newspaper estimated the total at €3bn (£2.1bn) – although this does not include lost tourism revenue.

In 2013 travel and tourism contributed €28.3bn to the economy – or 16.3% of national income.

The timing of this year's segment of the ongoing crisis through spring and early summer is likely to have drastically reduced the spend on vital summer bookings.