Greece to continue to pay back the IMF; progress on reforms still too limited

Having managed to pay back the €346m due to the IMF last Friday, Greece will again need to find funds in order to repay the IMF €577m due on Monday 16th and €346m on 20th March. 

On top of that, €1.6bns worth of T-bills expire on Friday and will need to be rolled over. However, the Eurogroup and the ECB made clear last week that no disbursement or ECB liquidity will be available until a broad set of reforms is agreed upon and implementation is on track. 

Societe Generale notes...

• Given this firm stance, the Greek government will have to continue using "innovative" solutions (such as using pension fund reserves) to fill the gapbetween the money due and the lack of sufficient government revenues and cash reserves.
  
  
• The payments to the IMF should be made on time but potentially at the cost of increased arrears to the private sector.