International Monetary Fund chief Christine Lagarde said Thursday that the threat of financial collapse in the global economy appears to have eased. But she warned that developed economies still need to follow through on reforms and debt reduction.
“We stopped the collapse. We should avoid the relapse. And it’s not time to relax,” she told a news conference on her outlook for 2013. Lagarde said that big economic powers, including the United States and European countries, had taken important steps to shore up their financial systems. She warned that there are signs of a waning commitment to regulate the financial sector, despite the problems that began with the collapse of U.S. financial institutions in 2008.News Tribune news services