Problems with Bayesian estimation

I am trying to the DSGE model of Cho and Moreno (JMCB), provided by Philip Liu, on euro area data. However, Dynare is giving the following error:

??? Error using ==> chol
Matrix must be positive definite.

Error in ==> metropolis_hastings_initialization at 52
d = chol(vv);

Error in ==> random_walk_metropolis_hastings at 43
ix2, ilogpo2, ModelName, MhDirectoryName, fblck, fline, npar, nblck, nruns, NewFile, MAX_nruns, d ] = …

Error in ==> dynare_estimation_1 at 1023

Error in ==> dynare_estimation at 62

Error in ==> moreno_mcmc at 164

Error in ==> dynare at 125
evalin(‘base’,fname) ;

I am attaching the .mod file and the data. Any help?
datankm.m (2.32 KB)
moreno_mcmc.mod (1.38 KB)

Search the forum and you will find many answers, see e.g. [? Error using ==> chol Matrix must be positive definite)