IMF Annoyingly Sticks To Greek Debt Cut Line

Angela Merkel does not need this right now!
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By Carole Raddato from FRANKFURT, Germany [CC BY-SA 2.0], via Wikimedia Commons

By Carole Raddato from FRANKFURT, Germany [CC BY-SA 2.0], via Wikimedia Commons

Angela Merkel is in a bit of a bind. She really needs the IMF to stay on board in the Greek bailout, to convince her voters that they’re footing as little of the bill as possible. But the IMF has annoyingly insisted on debt relief for the Greeks—you know, since they’ll never be able pay all of it. This is anathema to the German voter, and thus to Merkel herself, since she’ll have to submit herself to them in a few months. The IMF, however, doesn’t seem particularly interested in that timeline, and might really mean it this time.

On Wednesday Slovakia's finance minister, Peter Kazimir, said the IMF was likely to take part in the financing of Greece's third bailout….

"Discussions on the debt side of the equation have only just started, so it's really early," Murray told a regular news briefing. "Our position hasn't changed."

Talks—well, quiet, unscheduled whispering huddles—about making both of those statements true are set for tomorrow.

While Greece is not on the official agenda of the G7 financial leaders meeting, it will be discussed on the sidelines because all the main players needed for a deal will be present, officials said on Thursday.

IMF spokesman says no deal reached on Greek debt [Reuters]
Euro zone lenders, IMF to discuss Greek debt relief on Friday [Reuters]

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