Greek restructuring not being considered: John Lipsky

The Greek crisis is quite unsettling. The Prime Minister has failed to convince opposition leaders to support tougher austerity measures to free up EU-IMF aid. At the same time, the markets got spooked on Friday when the IMF said that it could withhold its contribution to a 12 billion euro aid tranche. The Athex on Saturday morning was down further, as Greek policymakers embroiled in worries about the huge debt that looms large above their heads. Menaka of CNBC-TV18 presents a report from Ross of CNBC that could be the silver lining in the dark cloud.

The IMF Deputy Managing Director, John Lipsky said today that a Greek restructuring or re-profiling is not being considered. Below is the verbatim transcript. Also watch the accompanying video. Q: You got a team at the moment in Greece, everybody has been talking about whether we should restructure debt increase or not. What are they telling you right now about the need for more rate and whether you are going to be able to give it?
 
A: We are in conversation with the Greek authorities about their outlook and about their policies. Discussions are on going there.
  Q: You are in favour of extension of this debt or reprofiling?
 
A: We have a programme underway with the Greek authorities supported by ourselves with our European partners. That programme does not contemplate any debt restructuring or reprofiling or realigning things.
  Q: When are we going to hear back from them finally before we decide on whether the next tranche would be made available?  
A: There is no specific date. As I said we are in active conversation with the Greek authorities and I am sure it