“The fund needs to stick by rules. It can’t fund countries with unmanageable debt loads if it wants to remain part of the world’s most high-profile bailout,” said Mujtaba Rahman, the Europe director for the Eurasia Group, a political risk consultancy. “The Germans need to prove their medicine of austerity and bailouts still works.”
The two sides did find some common ground.
The I.M.F. “made a major concession,” Poul M. Thomsen, the director of the fund’s European department, told a news conference Wednesday morning. “We had argued that these debt relief measures should be approved upfront, and we have agreed that they will be approved at the end of the program period.”
Mr. Thomsen said the steps taken by Greece and the debt-relief plans outlined by European…