December 13, 2016 / 1:03 PM / a year ago

Euro zone bailout fund chides IMF over Greece blog

BRUSSELS, Dec 13 (Reuters) - The euro zone’s ESM bailout fund criticised the International Monetary Fund on Tuesday after senior IMF staff used a blog to criticise the euro zone’s demand that Athens commit to a large primary surplus in 2018.

An ESM spokesman said the European institutions were surprised to discover a blog posting on negotiations with the Greek government as new talks were starting in Athens.

“We hope that we can return to the practice of conducting programme negotiations with the Greek government in private,” the spokesman said.

The head of the IMF’s European Department Poul Thomsen and chief economist Maury Obstfeld wrote in an article the Fund believed that euro zone insistence on a Greek primary surplus of 3.5 percent in 2018 was wrong and 1.5 percent would be enough.

The IMF is instead calling for the creation of a reformed welfare system financed with cash from an adjustment of the Greek tax system and far too generous pensions. (Reporting by Tom Koerkemeier and Philip Blenkinsop; Editing by Alastair Macdonald)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below