Three Critical Changes For A Stable Global Economy: BIS

Speaking at the Bank for International Settlement’s annual general meeting, BIS general manager Jaime Caruana drew a gloomy picture, saying that “the Great Financial Crisis still casts this long shadow on the world economy.” He sees signs of recovery and reform, and expects global economy growth to return to pre-crisis levels. But he also argues that three transition are necessary to avoid falling back into another crisis in the future: a move to growth that isn’t fueled by debt, normalized monetary policy, and a more reliable financial system. Global Economy: Non-financial debt has risen against GDP since 2007 For all…