Greece embroiled in bailout row with IMF

Greece engaged in angry exchanges with the International Monetary Fund (IMF) over the weekend after WikiLeaks transcripts suggested that the fund was seeking to threaten Greece with a risk of default.

WikiLeaks published the text on Saturday (2 April) of an alleged conversation between three IMF officials in which they say that Greece only does what it needs to do only when it runs out of money – a situation they suggest could happen again soon.

The Greek government responded by asking the IMF whether “seeking to create default conditions in Greece, shortly ahead of the referendum in Britain, is the fund’s official position”.

In a letter to Greek prime minister Alexis Tsipras on Sunday, IMF managing director Christine Lagarde tried to assure him that “any speculation that IMF staff would consider using a credit event as a negotiating tactic is simply nonsense”.

She added however that her institutions would support only a “credible” plan “based on realistic assumptions”.

“We are still a good distance away from having a coherent programme,” she wrote.

Lagarde also wrote that the IMF “conducts its negotiations in good faith, not by way of threats” and that it did not “communicate through leaks”.

Full article: Greece embroiled in bailout row with IMF (euobserver)

Comments are closed.