That point may be nearing as Dow Jones reports that world leaders are preparing to mandate that the IMF issue an additional $250 Billion of its Special Drawing Rights to prop up the EFSF.
$250 Billion might be enough to prop up Greece, but next comes Italy, France, Spain, and Portugal.
QE to Infinity....AND BEYOND!!!!!
World leaders may mandate the International Monetary Policy to print more of its special currency to help solve the euro zone crisis, according to several people familiar with the matter.
Asking the IMF to print more of its Special Drawing Rights, essentially an IOU that countries can exchange for cash, is one of the ways the Group of 20 industrialized and developing countries is considering supplementing European efforts to stem a debt crisis threatening to spark a global financial meltdown and another recession.
G-20 leaders are pressing euro zone leaders to deliver a detailed and credible plan to leverage their own bailout fund, boost bank capital buffers and restructure ailing economies. Political disarray in Greece and the inability of euro-zone officials to so far agree on exactly how they plan to build a firewall to prevent contagion is fueling talks on alternative emergency measures.
If Europe is able to agree on a credible strategy that can assure its colleagues in the G-20, then the group would be willing to consider the SDR allocation and other financing options to bolster European action, the officials said.
The ECB itself has said the scope of its own rescue efforts through a bond buying program would be limited both in time and volume. But under the idea currently being considered by officials, the IMF would be the lender of last resort.
Two people familiar with the matter said the SDR issue could total $250 billion. One option under discussion is to use some of that money to beef up the European Financial Stability Facility, the euro zone's bailout fund.