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Bonds News

UPDATE 1-IMF disbursing 2.5 bln euros more to Greece

 (Adds quotes, details, background)
 WASHINGTON, Dec 17 (Reuters) - The International Monetary
Fund said on Friday it was disbursing about 2.5 billion euros
($3.3 billion) more to Greece as part of an effort to bail out
the country's struggling economy.
 The IMF's executive board said it had completed a review of
Greece's economic performance and found that the Greek
authorities remained determined to implement reforms and that
progress was being made.
 IMF Deputy Managing Director Murilo Portugal said the Greek
government deserved credit for pressing ahead with austerity
measures and that inflation was declining and competitiveness
improving.
 But he acknowledged that public unhappiness with tough
austerity measures is high and said the Greek government must
stick with the course it has set.
 "Given pressure points in the public sector and still
unfavorable investor sentiment, comprehensive and timely
reforms remain essential to secure renewed growth and
sustainable public debt dynamics, while protecting vulnerable
groups," Portugal said in a statement.
 So far, the IMF has disbursed about 10.58 billion euros to
Greece as part of a broader rescue effort with the 27-country
European Union for the nation's debt-stricken economy.
 (Reporting by Glenn Somerville, editing by Dale Hudson)




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