Greece has no money to make IMF payment, interior minister says

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Greece won’t be able to make subsequent tranche of debt compensation to the International Monetary Fund (IMF), because the nation has no money to pay, the Interior Minister stated. “The four installments for the IMF in June are 1.6 billion euros ($1.8 billion), this money will not be given and is not there to be given,” Nikos Voutsis advised Greek Mega TV’s weekend present on Sunday.

Asked in regards to the timing of talks on compensation, Voutsis stated that they could be prolonged till the top of June or early July. His assertion comes as Greek Finance Minister Yanis Varoufakis stated that Athens have made “enormous strides” at reaching a cope with its worldwide collectors.

“It is now up to the institutions to do their bit. We have met them three-quarters of the way, they need to meet us one-quarter of the way,” he advised the BBC’s Andrew Marr present on Sunday.

According to Varoufakis, it might be “catastrophic” if Greece left the euro, saying that it might be “the start of the top of the frequent foreign money venture.”

On Thursday, a spokesman for the left-wing Syriza get together stated that Greece gained’t have the option to pay the subsequent tranche of 300 million euros to the IMF on June 5 except it receives additional monetary support from collectors.

“Now is the moment that negotiations are coming to a head. Now is the moment of truth, on June 5,” Nikos Filis, spokesman for Syriza get together lawmakers, advised ANT1 TV channel. “If there is no deal by then that will address the current funding problem, they won’t get any money.”

Greece is struggling to repay its multibillion euro debt to the troika of worldwide lenders – the IMF, the ECB and the European Commission, and is attempting to discover a means to get an extra €7.2 billion bailout unlocked.

Talks between Athens and its worldwide lenders reached a stalemate over refusal of Greek authorities to perform labor and pension reforms, in addition to to decrease fiscal targets established throughout the framework of the bailout program.

However, Athens has made quite a lot of concessions, together with the imposition of a particular tax on financial institution transactions to assist elevate income.

On Wednesday, Varoufakis advised Britain’s Channel four that if Greece fails to attain negotiations with lenders, the federal government may have to give pensioners and public sector staff precedence.

“If we can, on June 5, repay the IMF and pay pensions and salaries as well as the other obligations we have to our internal creditors, we shall. If not, we will have to prioritise pensioners and public sector workers,” he stated.

On May 11, Athens started repaying some €750 million in debt curiosity to its collectors, simply days earlier than the deadline.

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