Christine Lagarde warns economic leaders

MARTIN CRUTSINGER
Last updated 10:54 16/01/2014

Relevant offers

World

UK retail company Sports Direct condemned for 'Victorian' work conditions Pokemon Go is providing some new revenue options Ban on Wicked Campers in Queensland widely applauded Australia's richest woman Gina Rinehart buys two cattle stations Scandal costs grow but Volkswagen stock jumps US goes after $1.4 billion in assets linked to Malaysian fund 1MDB Lachlan Murdoch set to get his revenge on Fox boss Roger Ailes ANZ Bank makes A$50m just by moving the furniture The world's first Pokemon Go dating service launches in US British police confirm Unaoil graft investigation

The head of the International Monetary Fund is warning policymakers to avoid mistakes that could derail a fragile global recovery.

IMF managing director Christine Lagarde says Congress should promptly increase the US government's borrowing limit and the Federal Reserve should avoid withdrawing its financial support too rapidly.

In a speech at the National Press Club, Lagarde says Europe is turning the corner from recession. But she adds that the recovery is uneven and some nations are burdened by high debt and credit restraints. She says the European Central Bank could do more to help the recovery by providing targeted lending.

For big emerging economies such as China, Lagarde says financial regulation needs to be strengthened and officials will need to be alert for any threats such as asset bubbles.

Ad Feedback

- AP

Special offers

Featured Promotions

Sponsored Content