IMF may reject money aid to Greece

Jean-Claude Juncker, the head of euro zone finance ministers, said Thursday that the International Monetary Fund may refuse the next portion of aid to Greece due next month.

The report impacted the markets where European stocks declined and secure bond futures surged up.

Juncker's spokesman later clarified that if European and IMF inspectors were convinced by new Greek austerity measures, there would be no problem with the June aid tranche.

Greece's finance minister said this week that if the next 12 billion euro ($17 billion) payment was not forthcoming, the country would be unable to meet its obligations and would default.

Juncker said on Thursday: "If the Europeans have to acknowledge that the disbursement from the IMF on June 29 cannot be operationally implemented, then the expectation of the IMF is that the Europeans would step in for the IMF and take upon themselves the IMF's portion of the financing.

"That won't work because in certain parliaments -- Germany, Finland and the Netherlands and others too -- there is no preparedness to do so," he told a conference.

Some analysts said Juncker's comments were meant to press Greek political leaders, who meet on Friday, to form a consensus behind tougher austerity measures, revenue increases and privatizations to get the country's bailout program back on track.