“Drastic measures” needed to curb public debt, says BIS

Economists at the Bank for International Settlements have warned the fiscal problems facing industrial economies are more serious than official figures suggest, and that proposed measures for tackling public debt could prove insufficient.

In a report called The future of public debt: prospects and implications, the authors say  important factors, such as the costs associated with ageing populations in industrialised countries, have been overlooked.

During the financial crisis, governments