One of Greece’s major creditors and Troika member the IMF says the country will need debt relief and extended loans from the European Union.<br /><br /> The IMF says the current scheduling of the debt is unsustainable without strong growth and implemented economic reforms.<br /><br /> The conclusion comes from an IMF analysis conducted last week, before Greece closed banks and defaulted.<br /><br /> The EU will have to find new money, 50 billion euros, but even under the Washington-based Fund’s most optimistic scenario, the debt-to-GDP ratio will still be 140% in 2022.<br /><br /> In its words Greece’s “fragile debt dynamics” meant one option appeared realistic; extend the grace period to 20 years, and the amortization period to 40 on existing EU loans. <br /><br /> Missing 2.5% growth could mean three decades of debt-to-GDP floundering over 100%
