Greece Defaults on International Obligations; IMF Statement



Greece_default

Greece has missed its June deadline to pay €1.6 billion to the IMF, becoming the first developed country to default on its international obligations.

Mr. Gerry Rice, Director of Communications at the International Monetary Fund (IMF), made the following statement today regarding Greece’s financial obligations to the IMF:

“I confirm that the SDR 1.2 billion repayment (about EUR 1.5 billion) due by Greece to the IMF today has not been received. We have informed our Executive Board that Greece is now in arrears and can only receive IMF financing once the arrears are cleared.”

“I can also confirm that the IMF received a request today from the Greek authorities for an extension of Greece’s repayment obligation that fell due today, which will go to the IMF’s Executive Board in due course.”

In addition the European Financial Stability Facility (EFSF) earlier released a statement announcing the end of its financial assistance to Greece. After the end of the programme on Tuesday Greece will be on its own, amidst the worst financial crisis the country has endured in its modern history.

Prior to today’s Eurogroup that rejected Greece’s programme extension request, Chancellor Angela Merkel had maintained the position that Germany will not discuss any Greek proposal until the results of Sunday’s referendum.

The Greek government decided to hold a referendum on July 5 to ask Greek citizens to vote YES/NO on the bailout deal offered to Greece by its international creditors.


18 COMMENTS

  1. Greece became the first developed country to default on the International Monetary Fund, Well done Yanis and Tsipras something to be proud off

  2. so much about Varoufakis’s predictions … they go down the drain … every single one of them.

  3. [The most ridiculous things in the 21st century:]

    1. The US ruined 100,000 innocent good Iraqis and 4500 US soldiers in an unnecessary war. (In the same period and same money, Mainland China completed 10,450 km high speed rail.)

    2. Greek debt default on 1st July 2015. (What is the doing of the silly EU?)

    3. The US jails 2.2 million own citizens. (So many crimes; It is about half of world prisoners.)

    4. On Xmas of 2016, the US Federal debt will exceed US$ 20 trillion.

  4. Hey Daan, when you have been under these austerity measures for the last 5 years or more, and NOTHING is getting better, you tell me what the solution is if you are so smart?

  5. The Persians, Turks, and Germans said the same thing. We’re still here and just as feisty as ever.

  6. When you first get home loan it looks daunting. For the first 5 or more years it looks as though you are not going anywhere. But you work hard gradually pay it off and as your income increases over time you see real gains. Greece has no patience. With low priced wages and stable government with less corruption there will be confidence in Greece and investment, with investment comes growth with growth comes more more money increases GDP.

    Greece want it to happen without any effort. This is not real this is delusional. Nothing will change if everyone wants things for no work.

    With drachma you have low wages but with no confidence in the Greek government and no change in corruption and tax collection How can you have growth?

  7. 1. The US ruined 100,000 innocent good Iraqis and 4500 US soldiers in an unnecessary war. (In the same period and same money, Mainland China completed 10,450 km high speed rail.)

    WOW. That puts the Iraqi war into perspective!!!

  8. “When you first get home loan it looks daunting. For the first 5 or more years it looks as though you are not going anywhere. But you work hard gradually pay it off and as your income increases over time you see real gains.”

    But when you first get a mortgage, and you marginally qualified for the money and your income goes down substantially in the first 5 years, what is the likelyhood that you will not default if terms and conditions are not renegotiated?

  9. As a Greek I do not believe you stand me. Bigots that evade over Skopian irredentism have no moral credibility. Go show show moral consistency by voting for a communist in your country before supporting communists in mine.

  10. Stop playing the revisionist history game. Macedonians were acknowledged in the 1920 GREEK census. Google it.

  11. Hey Zante, What are you talking about?. People have nothing left to tighten…this is why suicide has gone through the roof, this is why there is 60% youth unemployment…overall unemployment is around 30%. What belt are they going to tighten?

    And please enlighten us all, where is this UNTAPPED capacity? So where is all this wealth that no one else has seen?

    Greece is about to break, whichever way they vote on Sunday

  12. Syriza has been in power for less than 6 months….how is the current debt their fault? Europa (aka German) is holding Greece to ransom so they will be their puppet. Now we have a government that will not just sit back and take all that from Germany. I say good one to Tsipras for standing up to the german DEMANDS.

    Greeks fought against the Persians, they conquered much of the known world; they told Mussolini the OXI/NO when they wanted to just come in and take over.

    Now (since the “bail out” we have given up our country for money and slavery to another country’s demands…THAT IS NOT HONOR.

  13. This is true but governments need to be responsible. There are rich people and people with money walking around not paying taxes. Whilst they vote for people to protect their interests. Tightening the belt involves collecting what you must collect and not recklessly spend on things that you can do without. What do you say to the unemployed people,the starving and the families of the dead when the new government with little cash decides the priority is to spent 32million on ert , a television station, before addressing their country’s poor. The institutions have asked them up to tax television advertisements -these people have money – why not do this. Syriza lost all credibility with me because they spend on items that keep them elected, no difference to the others,they don’t care about the people.