EU-IMF rift stalling Greek debt solution
A RIFT between the EU and the International Monetary Fund on the way to tackle the Greek debt crisis is delaying its solution, Greek Prime Minister Alexis Tsipras said.
Leftist-led Greece is struggling to deliver on fresh reforms needed to unlock a further 2.8 billion euros (US$3 billion) in bailout loans and more crucially, launch negotiations on debt relief later in the year.
“We are closer than ever before to a solution to this crisis. What is delaying the effort of regaining the trust of the markets is the constant disagreement between the European institutions and the IMF,” Mr Tsipras said.
The Washington-based IMF, which was key to Greece’s three bailouts, has said it won’t give a penny to the latest one until it sees a concrete plan from the Europeans to substantially cut Greece’s massive debt burden.
The IMF and EU creditors disagree on just how much Athens can improve its finances through ongoing reforms.
Athens has committed to deliver on the reforms by the end of the month. They include the long-delayed launch of a massive privatisation fund and reforms in the highly sensitive energy sector.
The EU’s Economic Affairs commissioner Pierre Moscovici said Greece must deliver on all 15 reforms, with only two of those achieved so far. –
Alexis Tsipras says Greece is closer than ever to a solution.