Friday, October 23, 2020
Home World Greece debt crisis: IMF payment deadline missed as bailout expires

Greece debt crisis: IMF payment deadline missed as bailout expires

_83951298_6564c7fd-8a98-41fe-ac2f-c0b4a4ec3f92

By NewsGram Staff Writer

Hours after eurozone ministers refused to extend its bailout, Greece has missed the deadline for a €1.6bn (£1.1bn) payment to the International Monetary Fund (IMF).

The failure in payment was confirmed by the IMF on Tuesday at around 22:00 Greenwich Mean Time(GMT).

With the loan default, Greece becomes the first advanced country to fail to repay a loan to the IMF and is now formally in arrears.

Greece no longer has access to billions of euros in funds and there are concerns that the default could put Greece at risk of leaving the euro.

“We have informed our Executive Board that Greece is now in arrears and can only receive IMF financing once the arrears are cleared,” said IMF spokesman Gerry Rice.

Earlier, Eurogroup chairman and Dutch Finance Minister Jeroen Dijsselbloem said it would be “crazy” to extend the Greek bailout beyond its Tuesday midnight expiration after Athens refused to accept the European proposals on the table.

“A Greek request for a new €29.1bn European aid programme would be considered later”, the minister added after the conference call with other eurozone ministers.

One of Greece’s “troika” of creditors along with the IMF and the eurozone’s European Central Bank, the European Commission wants Athens to raise taxes and cut welfare spending to meet its debt obligations.

Meanwhile, amid fears of a Greek default on its huge public debt of €323bn, people have queued at cash machines but the withdrawals have been capped at just €60 a day.

However, up to 1,000 bank branches will re-open from Wednesday to allow pensioners – many of whom do not use bank cards – to withdraw up to €120.

The announcements come after talks between Greece and its creditors broke down earlier this week.

Following the breakdown of talks, demonstrations–some calling for a “yes” and others urging a “no” vote to the referendum over agreeing to creditors proposals–have been held by the pro-European and pro-Greece protesters outside the Greek parliament in Athens.

STAY CONNECTED

19,120FansLike
362FollowersFollow
1,781FollowersFollow

Most Popular

Down Syndrome May Increase COVID Death Risk

Researchers have found that down syndrome is associated with a 10-fold increased risk for COVID-19-related death. Down syndrome (sometimes called Down's syndrome) is a condition...

Miss India 2020 Pageant Held Virtually Due to Pandemic

In the wake of the COVID-19 pandemic, Miss India 2020 pageant will be held virtually the Miss India Organisation has announced. A nationwide audition to...

6 Designers Came Together to Help Craft Clusters Impacted by Pandemic

Six fashion designers came together to support marginalized craft clusters and those heavily impacted by the pandemic by generating livelihood opportunities for the artisans....

India Rapidly Expanding High Power Supercomputers

India is fast expanding its supercomputer facilities and developing the capacity to manufacture its own supercomputers in the country, the Ministry of Science and...

Cholesterol Medications May Lower Cancer-Related Deaths in Women

Among women with breast cancer, colorectal cancer, or melanoma, those who are taking cholesterol-lowering medications are less likely to die from cancer, researchers said. The...

Immediate Biomedical Waste Management Halts COVID Spread: UNIDO

The United Nations Industrial Development Organisation (UNIDO) on Tuesday stressed the need to halt the spread of COVID-19 through all possible infection channels, including...

1.16L Infant Deaths in 2019 Due to Air Pollution in India

The first-ever comprehensive analysis of air pollution's global impact on newborns finds that outdoor and household particulate matter pollution contributed to the deaths of...

Literature and Movies: Filmmaker Suman Mukhopadhyay

While reading 'Chuti Nakoch', a story by writer Ashapurna Devi, he suddenly felt grabbed by the jugular. It was tough to ignore the visual...

Recent Comments