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IMF’s Approval-In-Principle And Greece’s Third Program: An In-Depth Look

Kyriakidis, Alexandros, (2017),  “IMF’s Approval-In-Principle And Greece’s Third Program: An In-Depth Look”, Social Europe, 3 July

The Greek case of the Eurozone crisis from 2010 onwards has, by now, turned into a multi-series drama. Another instalment came in the June 2017 Eurogroup discussions on the second review of the third Greek financial assistance program (FAP). The review has limped on for more than a year since the conclusion of the first one on May 2016 (e.g. intermediate Eurogroup meetings in December 2016, February 2017), primarily because of the unwillingness of the IMF to provide financing (so far its input in the Program has been only on policy) unless the following measures were adopted: (1) additional structural adjustment policies with emphasis on tax and pension reform by Greece, and (2) relief for Greek debt (179% GDP in 2016) by the Eurozone member states to make it sustainable.

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