imf

Ireland to Overhaul Banking Sector as Part of Rescue Package

Ireland officially applied for a rescue package worth tens of billions of dollars from the EU and IMF in a bid to stabilize its banking system and avoid economic meltdown. The exact value of the rescue package isn%u2019t clear. Goldman Sachs Group (GS) estimated that it may total 95 billion euros, ($135 billion), Bloomberg News reported.

Can China Control an Overheating Economy?

As if the Irish debt crisis weren't enough, investors are worried once again about rising inflation in China. But officials in Beijing are quietly building an impressive record of economic management, and some analysts are convinced they can meet the latest challenge.

Europe and IMF to Discuss Aid Package for Irish Banks

European and International Monetary Fund officials will meet in Dublin tomorrow to discuss the possibility of aid for Ireland%u2019s ailing banking sector. "If banking problems are too big for this small country to manage, Europe has made it clear they%u2019ll help," Irish Finance Minister Brian Lenihan said, according to Bloomberg News.

Why Easing the Threat of Currency War Is So Difficult

Investors take note: Despite the calls for order, national policymakers are dealing with an increasingly haphazard scenario loaded with counterproductive results and unintended consequences. The result could be a slide toward protectionism.

IMF Cuts Outlook for World Economic Growth

The International Monetary Fund cut its forecast for world economic growth, saying that the economic recovery will slow as governments cut their budgets. The IMF cut its outlook for the U.S. economy to 2.2% growth in 2011, from a previous estimate of 2.9%.

Top Economists See Consumers Rebounding Faster

Forget the gloomy predictions: According to Richard Berner of Morgan Stanley, U.S. consumers are a year ahead of schedule in repairing their household balance sheets, giving them the ability to start spending again soon. And the head of the IMF was explicit Monday: A double dip is unlikely.

Europe's Debt Crisis: Here We Go Again?

Europe's shakiest economies managed to ride out a sovereign debt crisis this spring with a lot of help from their more stable neighbors and the major central banks. But with global recovery faltering, the data coming out of Europe suggests we may soon see a replay of the debt default crisis.

Rebuilding Greece: 'Strong Start,' but Miles Still to Go

The EU and the IMF have issued a glowing report card on Greece's reform efforts, but it's clear the country is hardly out of economic danger. Among the threats: Falling GDP, rising prices and the possibility of spiraling into ever-deeper budget cuts to offset falling tax revenue.

Were the European Bank Stress Tests Too Easy?

Banking regulators tested the soundness of 91 European banks this week to see if they could withstand a financial crisis, and only seven failed to pass muster. But some analysts say the tests may have been too easy, and wonder what would happen if a real "worst-case scenario" hit.

Greece Successfully Sells 1.25 Billion Euro of Bonds

Greece raised 1.25 billion euro ($1.57 billion) of bonds, its first debt auction since taking international bailout loans. The sale of 26-week treasury bills was oversubscribed 3.64 times, the Associated Press reported. The yield on the bonds was 4.65%.

European Central Bank Keeps Rates Low

It may be because of the slowing European economy, the drive for austerity by the continent's national governments, or planned tax increases. But whatever the reasons, the European Central Bank said Thursday it would hold its benchmark interest rate steady at 1%.

Now Hungary's Debt Woes Are Rattling Global Markets

Hungary became the latest member the club of countries on the economic brink Friday after its newly elected government said it might default on its debts. Investors battered European stocks and Hungary's currency, the forint, and pushed the euro below $1.20 for the first time in four years.

The Biggest Obstacle to a Greek Bailout May Be Greece

Instead of embracing the rescue package, Greek citizens are roundly rejecting the austerity measures the aid depends on. That's bad enough, but considering how much the Germans disdain having to bail out their profligate neighbor. Bottom line: The EU and euro are in big trouble.

Greece Seals the Deal, Finally, But What's Next?

The aid package to bail out Greece hardly ends its problems. The country's debt is over 100% of GDP, and the national deficit was 13.6% of GDP last year. The major concern is that Greece's citizens won't accept what's expected to be $40 billion in budget cuts over three years.

If the IMF Bails Out Europe, Who'll Bail Out the IMF?

The fund probably doesn't have the resources to bail out Greece, Portugal, Ireland and Spain. Which begs the question -- who rescues the IMF if it needs more stabilization funds to put out another fire? You guessed it: The U.S. is at the top of that list.

Europe Needs to Think Big About Its Bailout

Ratings downgrades for Spain, Portugal and Greece have alarmed already-rattled credit markets, sending borrowing costs sky-high. As contagion spreads, Europe's politicians need to stop dithering over the bailout and take dramatic steps to reassure markets.

The Global Economy Is Coming Back to Life

The International Monetary Fund is projecting that the world economy will emerge from its coma this year. Its World Economic Outlook forecasts global growth of 4.2% in 2010 after a 0.6% decline in 2009, the worst year since World War II. But "the outlook remains unusually uncertain" the IMF says.

Greece to Sell Nearly $7 Billion in Bonds

Greece has announced it will issue as much as $6.7 billion in seven-year bonds just days after the European Union and International Monetary Fund came to an agreement on how to backstop the country's finances as it works its way out of its crippling debt.

For U.S. Investors, Greece Matters More Than You MIght Think

Why should U.S. investors care about Greece? Many reasons. Lack of stabilization in the country could hurt Europe's, slowing U.S. exports to the region. A crisis would also decrease investor confidence in the euro-zone and the euro currency.

Germany to Offer Aid to Debt-Laden Greece?

Struggling with a worsening sovereign debt crisis, Greece appears closer to a bailout by the E.U. The plan may be led by Germany due to the size of its economy and relatively strong financial position.

Haiti Quake: First Seismic Aftershocks, Then Economic Ones

The 6.1 aftershock in Haiti on Wednesday underscores the multitude of challenges facing the country, where the International Monetary Fund estimates that the disaster could cost much more than the $900 million in damage from 2008's hurricanes.

IMF says world economy is recovering

In a report released Wednesday, the International Monetary Fund forecast the global economic recovery has started. It also noted, however, that...