A $4.2-Billion Rescue Package for Greece

IMF approves latest installment of massive rescue package for Greece's crumbling economy.

The International Monetary Fund on Friday agreed to give Greece a $4.2 billion rescue package in an attempt to help the struggling economy avoid a debt default. The IMF’s new managing director, Christine Lagarde, who replaced Dominique Strauss-Kahn on Tuesday, stressed that Greece's reforms, spending cuts and tax hikes are slowly rebalancing the economy, despite massive challenges ahead. Greek lawmakers recently approved enormous spending cuts, privatization efforts and tax increases, sparking violent protests in Athens. A second package of loans will be completed in September.