Recovery has lost steam and risks remain high, IMF warns

The European sovereign debt crisis and continuing uncertainty surrounding the US housing market have set back progress towards financial stability and improvements in credit risk, according to the International Monetary Fund.

In its semi-annual Global Financial Stability Report, published on October 5, the IMF warned the outlook for financial stability is subject to considerable downside risk, tail risks remain elevated and bank balance sheets need to be further bolstered to deal with the refund

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