In a decisive stride towards reforming its economic crisis , Greece, which has been bailed out by the European Union, European Central Bank and IMF twice since 2010, had already officially requested a new three-year loan from the euro zone’s bailout fund, the European Stability Mechanism.
In a letter to Christine Lagarde , the Managing Director of the IMF, Greek Finance Minister Euclid Tsakalotos sought a new loan from the IMF .
He noted that the Greek parliament has passed two laws enshrining a series of tough reforms demanded by the creditors, including tax rises and a pension overhaul, in a step closer to finalizing the deal.
“The Greek authorities have committed to implement a number of policies that would enhance fiscal sustainability, strengthen fiscal stability, sustain long-term growth and, importantly, spread the cost of economic adjustment in a fair way,” the finance minister wrote in the letter, which was dated July 23 and released to the public on Friday.
“It is our belief that it will take several quarters before the Greek economy faces up to these challenges and returns to a vigorous and sustainable path to growth with fairness and social inclusion,” he added.
The IMF confirmed receipt of the request, saying that it will next discuss with Greek and EU authorities “the timing and the modalities” of talks on the next bailout.
