IMF Warns Eurogroup Loan Measures Not Enough for Greek Debt
- Greek debt is highly unsustainable; measures not specific
- Debt will jump as high as 275 percent of GDP by 2060
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Greece’s public debt and financing needs will prove “explosive” in decades to come unless Europe overhauls its bailout program to ease the load, the International Monetary Fund says in a draft report as the country seeks a fresh loan payout.
In the IMF’s baseline scenario, Greece’s government debt will reach 275 percent of its gross domestic product by 2060, when its financing needs will represent 62 percent of GDP, the report obtained by Bloomberg says. The government estimates public debt around 180 percent of GDP at present.