International Monetary Fund or IMF April 2014 Global Financial Stability Report reveals challenging transitions, the global financial system experiences on the path to greater stability.
The report obtained by CRN highlights that transitions of moving from liquidity to growth-driven markets are incomplete and stability conditions are abnormal.
It added that successful shift from liquidity-driven to growth-driven markets requires a number of elements for advanced and emerging market economies.
The report discussed the normalization of United States monetary policy to avoid financial stability risks.
It highlighted financial rebalancing in emerging market economies amid tighter external financial conditions and higher corporate debt levels.
The Fund’s report indicated progress in the Euro area’s transition from fragmentation to robust integration and the successful implementation of Japanese policies to deliver sustained growth and stable inflation.