Christine Lagarde warns economic leaders

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

Relevant offers

World

Goldin's Pan Sutong lost billions and he doesn't care about it Gyrocopter pilot who landed at US Capitol faces prison sentence Would you eat this Carl's Jr burger? The 24-minute, $24b wipeout that halved Chinese billionaire's fortune 6 banks pay US$5.8 billion, five guilty of market rigging Court dents 'flash crash' trader's release hopes Leaked Sony contract revs up Spotify debate Peppa Pig annual retail sales hit US$1 billion Colonel Sanders resurrected as KFC tries to revamp image How McDonald's dodged half a billion dollars in Australian tax

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