## Transcript of a Press Briefing by Caroline Atkinson, Director, External Relations Department, International Monetary Fund

_IMF News, May 12, 2011_

## Source details

**Canonical URL:** [Transcript of a Press Briefing by Caroline Atkinson, Director, External Relations Department, International Monetary Fund](https://www.imf.org/en/news/articles/2015/09/28/04/54/tr051211)

## Other formats

- [Markdown version](/en/news/articles/2015/09/28/04/54/tr051211/index.md)
- [Structured JSON version](/en/news/articles/2015/09/28/04/54/tr051211/index.json)
- [Bundle manifest](/en/news/articles/2015/09/28/04/54/tr051211/bundle-manifest.json)

## Bibliographic details
- Authors: Arrangements. That
- Published: May 12, 2011

---

### Context and logistics
- Date and location: May 12, 2011, Washington, DC.
- Briefing embargo: embargoed until 10:30 a.m. Washington time or 1430 GMT.
- Upcoming travel and events mentioned:
  - Managing Director: keynote at the Twelfth Brussels Economic Forum on the 18th; speaking at the Bretton Woods Committee 2011 Annual Meeting on the 19th; remarks to be posted for the Tenth Annual Niarchos Lecture at the Peterson Institute (starts at 5:00 p.m., open to media).
  - First Deputy Managing Director, Mr. Lipsky: in Beijing for the International Forum of Sovereign Wealth Funds; will deliver a speech tomorrow morning, May 13 (to be posted in Chinese and English).
  - IMF co-hosting with Brazilian authorities: conference in Rio on the 26th and 27th of May on management of capital flows (detailed program and media advisory to be issued later).
  - Antonio Borges, Director of the European Department: regional outreach including a press conference in Warsaw at 11:00 a.m. local time (following European Regional Economic Outlook releases).

### Greece: program, EFF conversion, and debt
- IMF stance on conversion to an Extended Fund Facility (EFF):
  - IMF has been "open to the idea of conversion to an EFF" for some months; an EFF "would give more time to Greece."
  - Conversion discussion is distinguished from judgments about debt sustainability: "That has nothing to do with whether or not the debt is sustainable. All of our programs and all of our facilities require a judgment that debts are sustainable."
  - EFF purpose emphasized: "to give more time so that if Greece needs more time to get to a position where they are finished with the program, an EFF allows for a longer period of repayment."
- Timing and process:
  - A mission is "in the field now" in Greece conducting discussions; IMF will not anticipate or pre-judge outcomes while mission is ongoing.
  - A Board meeting date would be fixed "once those discussions were concluded."
  - Expected mission conclusion: "around the 18th."
- Repayment terms and rates:
  - Interest rates: "Our interest rates are the same on those two different facilities."
  - Repayment term comparison (as stated): "instead of being three to five years, it's six to 10 years or something like that." (Note: IMF spokesperson cautioned she was not announcing anything definitive.)
- Position on debt restructuring and Euro exit:
  - Program designed on basis of government's "firm commitment to honor its debt obligations and guarantees and that still holds."
  - IMF will give space to ongoing in-field discussions rather than commenting on speculative scenarios.

### Ireland, Portugal, and European monetary/financial issues
- Ireland:
  - Ireland has an Extended Fund Facility (EFF).
  - Irish program status: "The Irish program is on track."
  - IMF Executive Board review scheduled: May 16 (review mission recently in the field).
- Portugal:
  - Programs are country-specific: "people often group these countries together, but of course they are three different countries with a different focus that their programs seek to address."
  - Portugal: "have had an even more worrying growth problem in the past"; fiscal problem "is not quite the same as Greece's" and "they have a lot of banking issues."
  - Agreement on program expected to be taken to Executive Board soon.
- European Central Bank and monetary policy:
  - IMF supportive of ECB operations in financial markets to promote financial stability, including refinancing operations and continued use of the Securities Market Program.
  - Monetary policy normalization characterized as gradual.

### Egypt and other country engagements
- Egypt financing needs and IMF engagement:
  - Egyptian authorities indicated a financing need of "some $10 to $12 billion from now through June 2012" from the international community.
  - Egypt has approached bilateral and multilateral partners "including the IMF" and "there has now been an official request" to multilateral partners; an IMF team is expected to visit Cairo "shortly" to begin discussions.
  - No specific IMF-only financing number provided.
- Pakistan:
  - Discussions ongoing between IMF staff and Pakistani staff focused on "recent economic developments and in particular the upcoming budget."
- Argentina:
  - Second technical assistance mission with Statistics and Western Hemisphere staff occurred on April 4 through 11.
  - "There is no request yet for the Article IV."
- South Sudan:
  - Question about IMF membership consideration and a Program Trust Fund for South Sudan: IMF to provide an update later (no specific answer at the briefing).

### IMF governance, legitimacy, and quota reform
- Legitimacy and leadership:
  - Question on legitimacy if next IMF head is another European: IMF declined to speculate on future leadership.
  - Quota reform cited as strengthening legitimacy: quota reform "agreed in the G-20 and then in the IMF Executive Board and by governors last year" will "deliver a big shift in quota to emerging markets" and "put all of the BRIC countries for example in the top 10 shareholders."
  - Legitimacy also tied to interactions with member countries and conduct of the Board.

### Definitions, terminology, and clarifications
- "Restructure" ambiguity:
  - IMF does not have a formal or official definition of "restructure"; meaning varies by context and should be examined case by case.
- Funding split historical expectation:
  - IMF referenced a historical average expectation of a "2-to-1 split" (two-thirds from the EU, one-third from the IMF) but emphasized that "every program is reviewed on a case-by-case basis" and the Executive Board is independent.

### Key statistics, dates, and procedural notes
- Embargo lift time: 10:30 a.m. Washington time or 1430 GMT.
- Dates and durations cited:
  - Press briefing: May 12, 2011.
  - Managing Director engagements: 18th (Brussels Economic Forum), 19th (Bretton Woods Committee), Niarchos Lecture at 5:00 p.m.
  - First Deputy Managing Director speech: May 13 (Beijing time; "tomorrow morning").
  - Rio conference: 26th and 27th of May.
  - Irish program Executive Board discussion: May 16.
  - Egypt financing horizon: "from now through June 2012."
  - Argentina technical assistance mission: April 4 through 11.
  - Expected mission conclusion in Greece: "around the 18th."
- Financing figures:
  - Egypt: "some $10 to $12 billion from now through June 2012."
- Facility repayment terms referenced:
  - Stand-By Arrangements: repayment "three to five years" (as contextually referenced).
  - Extended Fund Facility example: repayment "six to 10 years" (as described during briefing).

*Transcript of a Press Briefing by Caroline Atkinson, Director, External Relations Department, International Monetary Fund — May 12, 2011.*

---


## References

- [Arab Republic of Egypt and the IMF](http://www.imf.org/external/country/EGY/index.htm)
- [Greece and the IMF](http://www.imf.org/external/country/GRC/index.htm)
- [Ireland and the IMF](http://www.imf.org/external/country/IRL/index.htm)
- [Portugal and the IMF](http://www.imf.org/external/country/PRT/index.htm)
- [Republic of South Sudan and the IMF](http://www.imf.org/external/country/SSD/index.htm)
- [Transcripts](https://www.imf.org/en/news/searchnews)
- [Caroline Atkinson](https://www.imf.org/external/np/bio/eng/ca.htm)
- [PRESS CENTER](http://presscenter.imf.org/)
- [Webcast](https://www.imf.org/external/mmedia/view.aspx?vid=941236726001)
- [https://www.imf.org/en/home](https://www.imf.org/en/home)

_Source: https://www.imf.org/en/news/articles/2015/09/28/04/54/tr051211_