IMF approves 3.2bn euro instalment for Greece

The International Monetary Fund says it has approved a 3.2 billion euro payment to Greece to help the country pay its debts this month.

It is the fifth instalment of a multi-billion euro bailout package with the European Union.

The IMF’s new head Christine Lagarde said the progamme was delivering results. But, she added, important structural reforms still had to be implemented.

And she said that Greece would only get out of its current plight if private creditors came to its aid.

Last week EU leaders agreed to release their portion of a 12 billion euro payment.

To secure it, the Greek parliament had to approve deeply unpopular austerity measures.

The IMF has warned the crisis could reach countries like the US if the contagion spreads to European banks exposed to Greek debt.

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