Greek debt crisis: IMF wary of third bailout

[webfact]

IMF won't join Greek bailout before reforms, debt relief
The Associated Press

WASHINGTON (AP) — The International Monetary Fund official cannot participate in another Greek bailout until Greece and its creditors make difficult decisions on economic reforms and debt relief, a fund official said Thursday.

Briefing reporters on condition of anonymity, the official said Greece needs to commit to reforms and creditors must provide debt relief — extending loan terms or reducing the debt outright — that will allow Greece to pay its bills over time. "It's always been clear the IMF will only come in once these conditions are in place," he said, suggesting that point is months away.

Still, the fund is participating in ongoing debt talks.

In Athens, a government official refused to comment directly on the IMF's participation in the third bailout.

"The IMF's position on debt sustainability is not new. (IMF managing director Christine) Lagarde has referred to this dozens of times," the official said, asking not to be identified because the talks are ongoing.

Bailout negotiations were launched in Greece this week, and have so far largely focused on tax reform, a planned overhaul of labor market regulations, and efforts to simplify bureaucracy for new businesses, as well as attempts to limit an expected recession through 2016.

Lead IMF negotiator Delia Velculescu arrived in Athens late Thursday and was due to meet with Greek Finance Minister Euclid Tsakalotos Friday, the official said.

The IMF has said Greece's debts are likely to rise to 200 percent of its economic output in the next two years, a burden the fund calls unsustainable.

-- (c) Associated Press 2015-07-31

[sammygood]

hahaha

is this one of the greeks mythological stories?

the barrel with no end ?

[Rancid]

Why wouldn't they be, the Europeans already have their sights on all the hard assets, probably nothing left to grab. Mind you, they had no problems funding the bankrupt Ukraine...

[winstonc]

the eu are a really vile lot of corrupt people..they are happy to shit on the little man in the street..............

[SheungWan]

the eu are a really vile lot of corrupt people..they are happy to shit on the little man in the street..............

Wrong insult, but don't let that stop you. This is about the IMF. Maybe all the troika members are the same? Less an example here of the little man than a smaller mind.

[Asiantravel]

the eu are a really vile lot of corrupt people..they are happy to shit on the little man in the street..............

Wrong insult, but don't let that stop you. This is about the IMF. Maybe all the troika members are the same? Less an example here of the little man than a smaller mind.

LOL when have any of these people - The IMF or EU shown the remotest hint that they are worried about being insulted as they engage in their criminal activities ?

[SheungWan]

the eu are a really vile lot of corrupt people..they are happy to shit on the little man in the street..............

Wrong insult, but don't let that stop you. This is about the IMF. Maybe all the troika members are the same? Less an example here of the little man than a smaller mind.

LOL when have any of these people - The IMF or EU shown the remotest hint that they are worried about being insulted as they engage in their criminal activities ?

Highly unlikely to be, or should they be .even slightly irritated by the web witterings of the conspiracy crowd. However, if we can slightly get back on thread, the IMF and the EU increasingly aware that Tsipras was openly playing them for a patsie talking different stories to different audiences. For the IMF to participate in the next round Tsipras has to show in practice that Greece will implement agreed structural changes. It is increasingly obvious that Greece is both incapable and unwilling to do so. However the EU is being kind in extending them another length of rope. The IMF has had enough. Don't blame them.

[otherstuff1957]

Greece owes about 200% of their GDP to their creditors.

Quite frankly, their creditors are either incredibly stupid or are counting on the EU to bail them out (ie: too big to fail). Who extends an unsecured loan for that amount??? Either the debtor becomes a permanent debt slave or they default or big brother (Germany) bails them out.

The IMF is the only player in this game telling the truth. The others are all nit-picking about details while ignoring the big picture.