IMF calls for co-ordinated banking action

bigstock-Money-27703154resized

IMF calls for co-ordinated banking actionbigstock-Money-27703154resized

The International Monetary Fund has advised struggling countries to take immediate action in making themselves more competitive, stating that a co-ordinated banking action could help prevent a currency crisis.

Investors have been moving their money from emerging markets at the fastest rate for three years, showing a definite lack of confidence and destroying local currencies.  There are concerns that this will be disastrous for a number of emerging markets.

The governor of India’s central bank has criticised the U.S Federal Reserve’s decision to start tapering its economic stimulus in December. America’s asset buying has a significant effect on the rest of the world’s economies and has been a major problem in turning investors away from emerging markets.

African and Asian economies have been hit hard, as well as eastern European countries such as Hungary and Poland; Hungary’s forint reached a two-year low against the US dollar last week and the Polish zloty is also struggling. In Russia the rouble dropped by 1% to its lowest rate in 5 years.

In the global stock markets the FTSE 100 fell to 6,510.44 points with a decrease of 28.01 points (0.4%) in January, the biggest monthly fall since last June. This was also the worst first month performance for four years.

Those that had a higher-than-average exposure to emerging markets suffered the biggest losses. In Germany, the German Dax fell by 0.7%, and the French CAC saw a decrease of 0.3%.

Contact Us

To talk to our specialists, call us on:

+44 (0)208 421 7470 or simply fill in the form below and we’ll get back to you.

Setup or Expand your Company in Spain

A unique one-stop shop – we’ll guide you through the entire process

Related Articles for Spanish Company Formation

The information and any commentary on the law contained on this website is provided for information and guidance purposes only. Every reasonable effort is made to make the information and commentary accurate and up to date, but no responsibility for its accuracy and correctness, or for any consequences of relying upon it is assumed by Open A European Company, its directors , employees or associated websites.

The information and commentary on Open A European Company’s site does not, and is not intended to amount to legal advice to any third party on a specific case or matter. You are strongly recommended to obtain specific, direct legal advice from professional advisers whether these be your own advisers or those that appear on the OpenAeuropeancompany.com site. You should consider taking advice both in the country in which you are domiciled and in the country in which you are seeking to open a company. and not to rely on the information or comments on this site.

Copyright © 2009-2025 Open a European Company