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The financial crisis: A year on

The financial crisis: A year on

Although world economies seem to be recovering from the crisis, officials warn that take time before normalcy is restored.

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September 13, 2009 12:17 by



The global economic crisis has not yet ended, Dominique Strauss-Kahn, the managing director of the International Monetary Fund, told German magazine Der Spiegel on Saturday.

“The global economic crisis will continue, even if Germany and France had some good figures in the second quarter,” he said. “It is right to say that not enough has happened. I hope the Group of 20 meeting in Pittsburgh will bring new momentum.”

The G20 is meeting on September 24-25 to discuss measures to prevent another financial crisis.

“In the minds of too many – not only regular people but also top politicians – the financial crisis is already behind us,” Strauss-Kahn said. “That way of thinking is dangerous.”

Strauss-Kahn said that nations should restrain bankers’ pay and tighten capital requirements in the banking sector. “Without new rules, there will be a return to the old behavior,” he said.

It’s been one year since the collapse of US investment bank Lehman Brothers, which is widely believed to mark the start of the global financial crisis. And although economies around the world seem to be limping back to normalcy, the outlook for the future does not seem to very bright.



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