European creditors (Commission and ECB) may be happy with the Tsipras government’s nearly eight-billion-euro package of higher taxes, social security contributions and higher VAT rates, but the IMF apparently isn’t.
One point of irritation is the speed with which European lenders accepted the plan, while another has to do with the “tax-and-tax” formula eyed by the radical leftist government — a plan which also doesn’t touch Greece’s cavernous public sector.
According to the WSJ, the Washington-based IMF reiterated on Tuesday that the once-again shrinking Greece economy “is already too heavily taxed and that too many additional tax increases would hurt economic growth, making it harder to pay down Greece’s debt.”
IMF chief Christine Lagarde is also quoted as saying that “it (the Greek plan) is still short of everything that should be expected.”

It now remains to be seen if the Fund will continue participating in whatever bailout plans.
WSJ adds that “IMF representatives have told European officials that they are also not satisfied yet by Greece’s broader economic overhaul plans beyond its budgetary promises. The IMF sees a wider, business-friendly shake-up of Greece’s economy as essential if the country is to improve its long-term economic growth.”