Tsipras and Lagarde discussed Greek program and IMF’s involvement in phone call

Prime Minister Alexis Tsipras spoke on Tuesday evening with the head of the International Monetary Fund (IMF), Chrstine Lagarde, ahead of her visit to Germany to meet with Chancellor Angela Merkel, government sources said.

According to the sources, Tsipras and Lagarde discussed Greece’s progress in changing the fiscal policy mix requested by the Fund after the completion of the current program. At the same time, IMF took steps towards accepting measures that will be fiscally neutral. They also noted it is Germany’s turn to take specific measures concerning the targets for primary surpluses after the end of the current program and providing debt relief, the same sources said.

Specifically on debt, Lagarde said the IMF insists that measures on Greek debt must be specified even if they are implemented later, a view reiterated earlier today by the Fund’s spokesman Gerry Rice. Only if this condition is agreed on, will the Fund participate in the Greek program.