Ashoka Mody criticises IMF decision-making

As European governments struggle with the Greek debt crisis, there are fewer people more knowledgeable about the inner workings of the IMF than Ashoka Mody.

Mr Mody was head of the IMF mission to Dublin as Ireland slid into its bailout in 2010. In an interview with the Irish Examiner, the now Princeton professor spoke out strongly against what he sees as “catastrophic” decision-taking by his former employer — the IMF, the European Central Bank and European governments in their dealings with Greece.

He was speaking after the ECB yesterday announced a freeze on the amount of emergency liquidity assistance provided to Greek banks, as ordinary Greeks still queued to withdraw cash from ATMs. Without that lifeblood, the Greek authorities were forced to call a bank holiday and do their best to manage an ongoing run on their banks.