The reliable system “get credit to pay back another one” failed. Greece’s government found itself in a difficult situation. The usual method of gradual debt settlement did not work out. In the shortest term, Athens should have tackled the issue of yet another payment for the credit obtained earlier in order to receive approval for a new loan. However, the country failed to do so because it was short of money. The first creditor to get back its share was the International Monetary Fund (IMF). Strangely, it was the Foreign Minister who announced the discouraging news. “The four instalments for the IMF in June are €1.6bn, this money will not be given and is not there to be given,” the Minister of Internal Affairs of Greece, Nikos Voutsis said during a TV show. Perhaps, the minister tries to confuse the big fish of the financial world. Back in April, Voutsis also complained that Athens had funds only for a couple of weeks before paying a debt installment to the IMF in proper time. The new government won favor with voters as it promised not to implement austerity measures which the Greeks believe to be the will of the creditors. If consensus is not reached, Greece would face a default and later it would even exit from the eurozone.
