Edited by pengecatbintang at 5-4-2023 07:19 AM
https://www.nst.com.my/world/world/2023/04/896337/imf-warns-ongoing-financial-risks-following-banking-turmoil
IMF warns of ongoing financial risks following banking turmoil
WASHINGTON: The recent banking turmoil in the United States and Europe could spread to crucial non-bank institutions like pension funds, further complicating central banks' fight against high inflation, the International Monetary Fund said.
Banking risks "could intensify in coming months amid the continued tightening of monetary policy globally," and spread to the interconnected non-bank sector, which now holds almost half of all global financial assets, IMF economists wrote in a blog post.
It was published alongside a chapter from the IMF's biannual report on global financial stability.
Central banks on both sides of the Atlantic have been walking a fine line as they attempt to tackle high inflation by raising interest rates without adding to the turmoil in the banking sector sparked by the dramatic collapse of Silicon Valley Bank (SVB).
|