IMF relies on Europe to help Greece slash debt

WASHINGTON - Agence France-Presse

IMF Managing Director Christine Lagarde. AP photo

The International Monetary Fund chief has said she is counting on Europe to live up to its commitment to help Greece meet its targets for slashing debt under an international rescue program.

The IMF said in its quarterly review of Greece’s progress earlier this week that the bailout program would fall short of the country’s needs by a total of 11 billion euros ($14.59 billion) by the end of 2015 and eurozone countries need to plug the hole. The international lending agency described the expected shortfall as a “test of European support” and said finance ministers from the 17 countries that use the euro have already started discussing how to fill the financing gap.

“The European partners, the members of the euro group, have always indicated that they would consider any additional measures and assistance needed for Greece in order for that country to reach the debt threshold that had been agreed,” IMF Managing Director Christine Lagarde said on Aug. 1. “The commitment is, in my view, what matters most,” she added.