Mundo 22-07-2017

IMF approves $ 1.8 billion precautionary revolving rights agreement for Greece

The International Monetary Fund (IMF) has approved a precautionary turnaround arrangement of about $ 1.8 billion for Greece.

"The Executive Committee of the International Monetary Fund has today approved in principle a precautionary turning rights agreement for Greece of (...) about $ 1.8 billion," the press release said.

At the beginning of June, the IMF warned that it will allocate a new tranche of aid to Greece only if it manages to agree with the authorities of the euro zone concrete measures to relieve the Hellenic debt.

The Eurogroup agreed in particular to extend up to 15 years the maturities for Greece to cancel the credits granted by the European Financial Stability Facility (EFSF).

The measure has not convinced the IMF since its forecasts of Greece's economic growth are lower than those managed by the Eurogroup.

The GDP level is used to forecast the evolution of the country's public debt.

This is one of the reasons why the IMF considers that the relief measures suggested by the Eurogroup are insufficient to ensure their future viability.