Swedish Minister of Finance feels that the crisis has reach a dangerous stageSunday, 25 September 2011
Concern about the European debt crisis dominates the World Bank and International Monetary Fund's ongoing meetings in Washington. IMF pledges strong action to address the crisis, but Swedish Finance Minister, Anders Borg believes that there will be continued market turmoil.
“It is obvious that we are in a difficult situation. Each day of continued market stress is a cause for concern. It increases the risk that we have global contagion. Time is crucial here, and now it seems to be that there will be several more weeks with continued concern before we get ahead,” says Anders Borg to radio Sweden.
AdvertisementUncertainty and concern for the European knock-on effects have characterized the economic summit in Washington.
From every corner, there have been calls for the EU to do more to prevent the debt crisis from spreading.
U.S., China and Brazil are among those urging European leaders to act faster and tougher.
The new IMF chief, Christine Lagarde, promised vigorous action to tackle threats to the global economy.
But the concrete measures from the IMF's side so far remain obscure. Anders Borg warns of further market turmoil, but still feels that the signals from the IMF meeting are encouraging.
“The main conclusion is that the euro countries signals a greater determination to come back to do much to prevent this market turmoil from continuing to spread,” says Anders Borg to radio Sweden.
IMF chief Christine Lagarde said that the crisis in the euro zone is a serious threat to the global economy.
“We are in a dangerous phase,” she said, but she also tried to strike a cautiously optimistic tone.
“Position is critical for the global economy, but I think we are halfway through. Now we must continue to struggle to reach the other side,” said Christine Lagarde.
By scancomark.se Team
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