Kubilius considers aid from IMF

Lithuania’s incoming Prime Minister Andrius Kubilius is no longer ruling out having to seek financial aid from the International Monetary Fund (IMF), but says only factors outside the government’s control, such as a deeper crisis in Latvia or Russia, could force it to turn to the IMF for help.

He said that there were no discussions yet as to what amount of money Lithuania could have to borrow from the IMF.

Kubilius last week reiterated his earlier statement that Lithuania did not plan to turn to the IMF for financial help.

"Such borrowing would mean that we are declaring ourselves a disaster area,” he said, adding that going to the IMF for loans could scare away potential investors and would place restrictions on the authorities.

The incoming government plans to discuss a crisis management plan and planned structural reforms, as well as further cooperation with the fund.

Neighbors Latvia recently turned to the IMF and EU for funds support.