Open

Coming up

Don't miss

Replay


LATEST SHOWS

IN THE PAPERS

French MPs debate whether or not to recognise Palestine

Read more

THE BUSINESS INTERVIEW

The 'Stagnation Trap', with Catherine Mann, Chief Economist at the OECD

Read more

FOCUS

Thiaroye, a dark chapter in France and Senegal's common history

Read more

DEBATE

Hollande and Africa: French president speaks to France 24

Read more

MEDIAWATCH

Ferguson and race relations in the US

Read more

AFRICA NEWS

Burkina Faso: Calls for probe into 1998 murder of journalist

Read more

IN THE PAPERS

All dogs may go to heaven after all

Read more

ENCORE!

'An American in Paris', a truly transatlantic collaboration

Read more

BUSINESS DAILY

Oil prices 'could fall further' without OPEC output cut

Read more

Business

IMF chief says govt bailouts unlikely in future financial crises

Text by News Wires

Latest update : 2010-01-17

International Monetary Fund chief Dominique Strauss-Kahn (pictured) said on Friday that bailout-weary governments are unlikely to rescue banks if another financial crisis develops.

AFP - International Monetary Fund chief Dominique Strauss-Kahn said Friday bailout-weary governments are unlikely to rescue banks if another financial crisis develops.
   
The former French finance minister said he could not imagine lawmakers in developed countries agreeing to any fresh bank rescues.
   
"I'm convinced that most parliaments, the Congress here in the United States, the National Assembly in France, Westminster in the UK, others, will be very reluctant, to say the least, to give money again to the financial sector," the IMF chief said at a news conference in Washington organized by the French American Chamber of Commerce.
   
"Especially when they see how the financial sector behaves just in the aftermath of the crisis," he added, referring to the continued payment of lavish bonuses blamed for encouraging excessive risk taking that caused the global financial crisis.
   
Strauss-Kahn stressed the need for new means to address the problems that had spun the global economy into its worst downturn in decades.
   
"We have 12 months or 24 months to be able to set up something which would be... safer and which would be more likely to resist, avoid the kind of problem we just had," he said.
   
The IMF estimates that the Group of 20 major developed and emerging economies spent more than 1.9 trillion dollars to support their financial systems between 2008 and August 2009 amid the global crisis.

 

Date created : 2010-01-16

  • BANKING

    Citigroup and Wells Fargo last to repay state bailouts

    Read more

  • BANKING

    Obama presses bankers to help rebuild US economy

    Read more

  • UNITED KINGDOM

    Darling slaps one-off supertax on bank bonuses

    Read more

COMMENT(S)