Lagarde: IMF to Refrain From Bending Rules for Greece

© AFP 2023 / MANDEL NGAN / The seal of the International Monetary Fund is seen on a headquarters building in Washington
The seal of the International Monetary Fund is seen on a headquarters building in Washington - Sputnik International
The International Monetary Fund (IMF) is involved in solving the financial crisis in Greece, but will not provide any special treatment to that country, IMF Managing Director Christine Lagarde said on Wednesday.

WASHINGTON (Sputnik) — On Sunday, 61 percent of Greeks voted to reject international creditors’ austerity measures in exchange for new funds.

“The IMF was asked by Greece to be involved in trying to resolve its economic issues. Whenever the IMF is involved, it is certainly my view that the IMF has to follow its rules, should not bend the rules and… there cannot be any special treatment,” Lagarde said at Brookings Institution in Washington, DC.

Greece is one of the worst hit countries by the 2008 financial crisis. The country’s overall debt stands at $350 billion, of which it owes $270 billion to the IMF, the European Central Bank and some eurozone countries.

“We remain fully engaged in order to help find the solution that will be the most conducive to what I said is our mission, which is to try to help with restoring stability, growth and debt sustainability.”

On Tuesday, European Council President Donald Tusk said Greece has until Thursday to submit a plan for reforms in order to receive a bailout package.

IMF Avoiding Heavy-Handed Approach in Greek Debt Crisis

The International Monetary Fund is avoiding an overbearing approach to the rapidly developing Greek debt crisis, Christine Lagarde added.

“The IMF has been adopting a line of, not silence, but we try to be mindful of developments [in Greece] and not be excessive in our positions.”

She noted that the IMF’s role in the Greek crisis is based on being “asked by Greece to be involved.”

Lagarde noted the IMF has not altered its expectations that Greece return to financial stability and manage its state debt sustainably.

“What has changed is, clearly that Greece is in a situation of acute crisis which needs to be addressed seriously and promptly.”

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