IMF chief says 'much more decisive' action needed to deal with debt problems

WASHINGTON: The head of the International Monetary Fund on Sunday called for significant steps to address the increasingly unsustainable debt burdens of some countries, urging creditors and debtors to start restructuring processes sooner rather than later.

IMF Managing Director Kristalina Georgieva told an online event hosted by the G30 group of former policymakers and academics that a six-month extension of a freeze in official bilateral payments agreed by the Group of 20 major economies last week would help, but said more urgent action was needed.

"We are buying some time, but we have to face reality that there are much more decisive actions ahead of us," she said, urging creditors and debtors to start restructuring debts of countries with unsustainable debt levels without delay.