The International Monetary Fund says that global financial stability has improved over the last several months with the easing of the European debt crisis, but not so much as to ensure long-term economic growth.An IMF senior official, Jose Vinals, said today in Washington that a new financial bailout for Greece and a European rescue fund for future financial emergencies have eased global financial concerns.Vinals said European banks remain vulnerable to new financial pressures. He said their assets could shrink in the next two years by more than $2 trillion, leaving them with less money to lend and hindering the continent's economic growth.In addition, Vinals said that the United States, with the world's largest economy, and Japan each need to forge a political consensus to cut deficit spending by their governments that threatens economic advances on a broader scale throughout the world.
News On AIR | April 18, 2012 8:26 PM
Financial stability improved, but not ensured long-term: IMF<br/>