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The Greek Prime Minister Alexis Tsipras will present new reform proposals to Brussels on Thursday. As Greece has submitted request for new bailout, the head of the International Monetary Fund Christine Lagarde said it was clear that Greece’s debt would have to be restructured. “In the context of Greece, we have always advised that that program walk on two legs. One leg is about significant reforms and fiscal consolidation, and the other leg is debt restructuring which we believe is needed in the particular case of Greece for it to have debt sustainability. That analysis has not changed. Greece is in the situation of acute crisis, which needs to be addressed seriously and promptly.”
That comments come as the US Treasury Secretary Jacob Lew said the debt relief was important, as Greek exit from Euro would bring huge risks for the global economy. Greek banks would remain closed for the rest of the week, and 60 euro limit on withdraws will remain in force.