Greece has met the conditions for the second instalment of a €110-billion rescue loan after making swift progress in its budgetary reform efforts, the EU’s executive arm said yesterday.

The European Union and International Monetary Fund put together the three-year package for Greece, worth $141 billion, in May in return for severe austerity measures aimed at restoring its public finances to health.

Some €20 billion was handed over in a first tranche.

Euro finance ministers are expected to approve the second tranche, which totals €9 billion – €6.5 billion from the eurozone and €2.5 billion from the IMF – when they meet on September 7, the European Commission said.

Greece should receive the money 24 hours later, a commission spokesman said.

“Greece has managed impressive budgetary consolidation during the first half of 2010 and has achieved swift progress with major structural reforms,” European Economic and Monetary Affairs Commissioner Olli Rehn said.

The assessment followed a mission by experts from the European Commission, the European Central Bank and the IMF to assess the progress made by Greek authorities to slash a huge public deficit.