IMF boss Christine Lagarde is not keen on an Europe wide talk on debt relief.
Her statement on the matter is ‘collective endeavors are welcome, but at the same time, a debt is a debt, and it is a contract.’
Lagarde’s stance is in direct collision course with calls made by Greek anti-austerity Syriza party, which is set to take governance in the country during the election this weekend, for an European “moment of solidarity” to deal with crushing bailout debts.
Irish political personalities have showed support for the Greek proposal, aiming to obtain some relief on the repayments for the €67.5bn bailout ‘help’ given by the IMF.
It is worth noting that the interest on Irish bailout loans struck an astronomical €7.5bn last year alone, and this figure will keep rising year on year.
Lagarde, however, is said to stand firm and strive to squeeze every last cent possible from all countries in hock, saying that changing the terms of a loan would have “consequences on the signature and the confidence in the signature.