Greek crisis deepens as IMF shoots down hopes for payment relief

The International Monetary Fund has warned Greece in its toughest language to date that a delay in debt payments would be an unprecedented event with no moral justification.

“We have never had an advanced economy asking for payment delays,” said Christine Lagarde, the Fund’s managing-director.

“It is clearly not a course of action that would be fit or recommended. This would mean additional contributions by the international community and some of these countries are in a direr situation than those seeking the delays,” she said, making it clear that the Fund would not bend its rules to avert a showdown.