IMF: Greece should restructure its debt

A new program of financial aid to Greece would require creditors to restructure the country’s debt.

International Monetary Fund Managing Director Christine Lagarde said it during a conference in Washington on Wednesday.

"In addition to the reforms Athens needs to undertake, the other leg is debt restructuring, which we believe is needed in the case of Greece for it to have debt sustainability," she said, according to Business Standard.

"Greece is in a situation of acute crisis which needs to be addressed," said Lagarde.

Despite the fact that Greece defaulted on its debt to the IMF on June 30, Lagarde assured that the institution "remains fully engaged in order to help find a solution."

Lagarde said that Greece, which no longer has access to the IMF resources since its default, should not benefit from any special treatment.

"It is certainly my view that the IMF has to follow its rules, should not bend its rules and should be always even-handed," she said.

As reported earlier, the Greek delegation did not submit new proposals at a meeting of EU finance ministers in Brussels.

The Greek government has to deliver detailed reform proposals in the next 48 hours.

New extraordinary EU summit on Greece crisis will be held on 12 July.