Greece’s parliament on Wednesday raised the maximum amount it can issue from its own currency, the kuwait, to $10.5 million and raised the minimum amount of money to which it can borrow from the International Monetary Fund (IMF) from $8.5.
The move by the government is likely to fuel growing opposition within the European Union, which has been reluctant to impose any sanctions against Greece, which is one of its biggest trading partners.
The kuwa’s value has fallen by around 15% in recent weeks as it is increasingly seen as a hedge against the risks of a sharp rise in inflation and the possibility of another Greek default.
As the government looks to increase the kumis purchasing power, it also seeks to bolster its own bond yields to keep investors onside.
According to the IMF, Greece’s sovereign debt stood at $31.7 billion at the end of March, down from $37.5 billion at its peak last month.
That is more than twice as much as it was at the start of this year.
On Wednesday, the government also agreed to a deal to make it easier for people to buy and sell Greek government bonds.
Under the deal, the Treasury will buy and lend more bonds at a lower rate than it did in the past.
The deal was signed at a press conference in the parliament building.
Greek Finance Minister Yanis Varoufakis said the deal will allow people to trade Greek government debt with each other in a more efficient way.
“The agreement was signed to allow people, the private and public sector alike, to trade and trade debt.
This means that, in the short term, it’s possible to trade debt in the markets,” Varoufakis said.
A number of the Greek markets are already seeing a sharp spike in prices, with the kunis value falling by up to 14% in the last week.
In recent weeks, Greece has been trying to reduce its public debt, which it needs to repay as part of a bailout plan that has drawn criticism from the European Central Bank and IMF.
Despite the recent turmoil, many Greek officials still hope to complete the bailout in time to be eligible for IMF funding.
Athens is expected to have the ability to meet the IMF’s $1.7 trillion repayment schedule on Thursday.
Analysts say the government could be able to pay off the debt as early as next week.