The Pak Banker - - COMPANIES/BOSS -

Greece's in­ter­na­tional cred­i­tors will have no choice but to ac­cept an eas­ing of the terms of Athens' debts, the head of the In­ter­na­tional Mon­e­tary Fund said on Wed­nes­day.

"It's in­evitable that there is an el­e­ment of debt restruc­tur­ing," IMF Man­ag­ing Di­rec­tor Chris­tine La­garde said.

The IMF has teamed up with the Euro­pean Union and the Euro­pean Cen­tral Bank in re­cent years to lend Greece money re­peat­edly to save it from a debt cri­sis.

The IMF and the United States ar­gue that Greece's loan bur­dens are un­sus­tain­able and have ad­vo­cated for an eas­ing of some of the terms of Greece's debts to in­ter­na­tional cred­i­tors. Euro­pean gov­ern­ments have re­sisted the idea as they ne­go­ti­ate with Athens on fur­ther bailout funds.

"For Greece to suc­ceed and for any pro­gram to fly, a sig­nif­i­cant debt restruc­tur­ing should take place," La­garde said.

In wide-rang­ing com­ments, La­garde said Ukraine ap­peared to be mak­ing progress in talks with pri­vate cred­i­tors to re­struc­ture its debts. She also said China's pol­icy ef­forts to fight a plunge in its stock mar­ket were un­likely to af­fect the IMF's de­ci­sion on whether to in­clude the yuan cur­rency in its spe­cial draw­ing rights bas­ket of cur­ren­cies.

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