IIR Airs selective Greece by default after the Paris Bank meeting - Wall Street Journal

(Recasts and updates throughout with of)

By Sebastian Moffett and Costas Paris

PARIS (Dow Jones) - the head of the Institute of International Finance, said Wednesday that a selective default by the Greece do need not derail the efforts of the country out of its crisis of debt, as bankers discussed a number of options for a salvage contract.

Private banks are trying to find a way to participate in an agreement to reorganize the debts of the Greece to ensure that European taxpayers do not have to provide all the money - but they want to do so in a way which avoids the Greece being declared in default.

Charles Dallara, the...