Greek PM Alexis Tsipras admonished the IMF and Germany to “stop playing with fire” to the detriment of Greece. He believes a bailout deal remains within reach.

Also, international markets fell after concerns a deal may not come before July. That is when Greece must make a seven billion euro debt bill. EU negotiators want to finalize the deal so Greece can get more of its $86bn bailout to make the payment.

Officials for Greece’s lenders will go to Athens to see if Greece set up reforms agreed under the current bailout.

“We will not allow our allies in Europe to play with fire on the cohesion and the future of Europe,” Mr Tsipras told a meeting of the leftwing Syriza party.  “The second review will conclude and it will conclude positively,” he added.

The Greek PM did not say if the IMF will fund the deal.

EU Commission President Jean-Claude Juncker said the bailout deal may fall apart. That is because the IMF has not decided whether to provide more aid.
“Yes, it is on a shaky ground in the sense that we don’t see how the International Monetary Fund could manage this problem,” Juncker told German radio station Deutschlandfunk in an interview to be aired on Sunday.

Greek PM Alexis Tsipras said Greece will not allow EU countries to use his country’s woes for their own domestic agendas. France, Germany and the Netherlands each hold elections in 2017.

He said German officials should stop the ongoing aggression towards Greece.

Greece’s creditors want to keep the deal on track to make July’s debt payment. One insider said the meeting was fruitful.

Greek PM Alexis Tsipras said the IMF acted cowardly. He believes the IMF made up new crazy demands for Greece.

Plus, yields on Greek two-year bonds fell from an eight-month high on Friday.

Greek Debt High As Greek PM Alexis Tsipras, IMF Wary Of Funding

As we reported previously, For its part, the IMF seems wary of taking a leading role Some arms of the IMF show awareness of the problem. These people know the current deal is not good bargain. Greek debt is just too much. But other European officials believe, quite strongly, the loan amounts cannot go down. They fear this will signal to the public that the bailout money was a waste.

Investors began calculating and finding there is a high risk of a Greek default. Plus, short-term Greek debt faces pressure.

Lastly, Greece owes too much money — to the IMF and myriad EU stakeholders. The EU group members want the IMF and its money to stay involved. The IMF wants to cut the loan amounts. But the group threatened to not participate in the next bailout stage if that is not done. In a way, the IMF stepped into a trap.

Source: Financial Times

You may also like: Greek Debt Unsustainable, Says IMF!

LEAVE A REPLY

Please enter your comment!
Please enter your name here