He was confident an international rescue package would work for Greece, International Monetary Fund Managing Director Dominique Strauss Kahn has said.

Voice of America has reported that in Berlin on Wednesday to discuss IMF and European Union loans with European Central Bank officials and German Chancellor Angela Merkel, Kahn said, "I'm confident from this side it will work very rapidly."

The loan package "asks from the Greek government very bold measures, but they're ready to take it," Kahn said.

Concern over Greece's debt and the possibility it could go into default accelerated this week after credit-rating agency Standard & Poor's downgraded Greek bonds to junk status.

It was also noted by the report that there is also fear the crisis could spread. S&P also downgraded Portuguese bonds, although they remain far above junk status.

Kahn said, "We have to do this because it's a problem that is today in Greece, but if we don't fix it in Greece it may have a lot of consequences on the rest of the European Union." (With Inputs from Agencies)