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IMF doesn't expect Athens to miss 1.5 bln euro debt repayment on June 30, spokesman says

IMF doesn't expect Athens to miss 1.5 bln euro debt repayment on June 30, spokesman says

The International Monetary Fund expects Greece to make a 1.5 billion euro debt repayment on June 30 as scheduled, IMF spokesman Gerry Rice said during the regular press briefing on Thursday.

He dismissed talk of default as "speculation," and said that Greek authorities have publicly said they will meet the payment.

In the case that the payment is missed, Rice added, the Fund will not consider the country in default but will place it in 'arrears' status, after which IMF Managing Director Christine Lagarde must notify the Fund's executive board within 30 days on the nonpayment.

Rice refused to comment on the negotiations currently underway in Brussels, noting only that strenuous efforts were being made to reach an agreement. He pointed out, however, that the proposal presented by the institutions (IMF, European Central Bank and European Commission) was unanimous and "fiscally and socially balanced," while promoting growth.

Rice said that an agreement on Greece must ensure the economy's financing and promote structural reforms, urging Europe to undertake initiatives to ensure the sustainability of Greece's debt.

He also stressed that the IMF does not present 'take it or leave it' ultimatums during the negotiations, while stressing the need for reforms to Greece's pension system while providing for the more vulnerable social groups.