The International Monetary Fund could allow Greece a longer period to repay loans or grant the country follow-up lending if it’s unable to tap markets, said Poul Thomsen, the head of the IMF’s mission to Greece.
“We are confident Greece will be able to return to the market during the program period,” Thomsen told a news conference in Athens today, referring to the three-year, 110 billion-euro ($149 billion) emergency loans the country received from the European Union and the IMF earlier this year. “But whether it will be able to return on scale to roll over and repay the IMF is admittedly an issue.”
Among the options that the IMF may consider if Greece proves unable to raise funding in the financial markets is a “longer repayment period” on the emergency loans, he said.
“Another option is a follow-up loan,” Thomsen said.
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