BRUSSELS: A much-needed eight-billion-euro ($11 billion) tranche of debt aid for Greece, approved by eurozone finance ministers Friday, still needs a go-ahead from the International Monetary Fund, a statement said.
"The disbursement is expected to take place in the first half of November, pending the approval by the board of the International Monetary Fund," said the statement issued by eurozone finance ministers.
The IMF has still to publicly give its agreement to its 2.2-billion-euro portion of the aid.
However, on entering talks here, International Monetary Fund chief Christine Lagarde said the Washington-based global lender of last resort "will do all it can" to help Europe find a lasting solution to the eurozone debt crisis.
The eurozone ministers also said that the economic situation in Greece "has deteriorated" and stressed that "economic challenges remain large."
Nevertheless, ministers said they welcomed the "substantial" efforts undertaken by the Greek government, which "should allow it to meet the targets for 2012."
They called on Athens to make further strides in reducing its debt mountain and reiterated that a second 109-billion-euro bailout package agreed in July was still on the table.
"In order to ensure debt sustainability, we will conclude a second economic adjustment programme for Greece, with an appropriate combination of additional new official financing and private sector involvement," the statement said.
The tranche of aid is crucial for debt-stricken Greece which faces running out of money to pay civil servants and pensions in mid-November.
It had been blocked since mid-September as a team of EU, European Central Bank and International Monetary Fund auditors scrutinised the Greek government's reform efforts.
On Thursday, the Greek parliament approved a controversial government list of even tougher austerity measures demanded by the auditors and which have sparked violent street protests.
Eurozone ministers "in particular welcome" these measures, the statement said.
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