Director of the Centre for European Policy Studies (CEPS) Daniel Gros argued that if the IMF had not participated in the Greek bailout plans the country’s debt would be manageable, in an interview to German Radio Deutschlandfunk.

Gros explains that the IMF loans out high-interest rate loans on a short-term basis to countries in financial strife. “This means that if the IMF was not part of the rescue plan everything would be managed within a purely European framework, which would result in lower costs for the parties involved, while no further measures would be necessary for a debt relief”, he underlined.

The political scientist continues by expressing his bewilderment as to why the participation of the IMF in the Greek rescue plan is even necessary today, given the fact that it is adopting an approach benefiting its own interests. “The IMF does not hold a neutral stance anymore, as it has offered loans and is asking from the EU institutions to accept a debt write-off in oder that its own loans are in a better position”, said Gros.

Furthermore, as he claims, the European Commission has gained enough technical experience through the 2 previous Greek bailout plans in order for the Europeans to implement the support program to Greece on their own. “In this context I do not understand the persistence of the German government for the participation at all costs of the IMF, because the Fund is costly and at the end of the day biased”, he says.

Gros dubbed the privatisation targets set ‘extremely optimistic, if not utopian’. On the matter of the political developments in Greece, he expressed the view that the current government would not survive, adding, however, that Alexis Tsipras would remain in power, as the current opposition parties have no alternatives. ‘It looks like Tsipras will be holding the fortunes of country in his hands for the upcoming years’, he said.