Skip to comments.Greece reportedly faces IMF aid cut-off
Posted on 07/22/2012 7:49:28 PM PDT by Ernest_at_the_Beach
LOS ANGELES (MarketWatch) The International Monetary Fund is set to stop aid payments to Greece, raising the odds that the nation will become insolvent as early as September, according to a German press report Sunday citing unnamed European Union officials.
The Troika of international groups overseeing Greeces aid the European Commission, the International Monetary Fund and the European Central Bank (ECB) are due to send inspectors to Athens this week to gauge progress toward the requirements of its assistance program.
However, Der Spiegel reported that its already clear to the Troika that the Greek government wont be able to trim spending to 120% of economic growth by 2020, as required, according to a Bloomberg News translation.
And if Greece were allowed more time to reach its spending-cut goals, it would need a further 10 billion-50 billion ($12.1 billion-$60.5 billion) in aid, Der Spiegel reported.
The report said the ECB could step in with aid in the interim.
Separately, German Finance Minister Wolfgang Schaeuble was quoted in the daily Bild that as saying Greece must redouble efforts to comply its aid terms.
If there were delays, Greece must make up for them, Schaeuble told the Bild, according to a translation by Agence France-Presse.
Meanwhile, The Wall Street Journal reported that Greeces new coalition government planned to announce new cost-saving steps and was looking for billions of euros in new budget cuts ahead of the meeting later this week with international Troika inspectors.
(Excerpt) Read more at marketwatch.com ...
...sounds like it’s all falling apart again....and so unexpected.
This report is wrong. The IMF will deny it soon. The press sucks, count on it.
They are not suspending the current program.
And why should the IMF be giving even a penny to Greece?
Why should the IMF even exist in the first place?
OK.....just needs a: /sarcasm
This is what, the 20th time this “threat” has been thrown around? And yet, they keep pouring more & more money down the socialist rat hole.
Back to drachmas.....and wheelbarrows for shopping.