IMF Director José Vinals: ‘We are back in the danger zone’ – Run On European Banks Begins

Rash of bank downgrades signals return to ‘danger zone:’ IMF (The Globe And Mail, Sep. 21, 2011):

Europe’s big financial institutions are under pressure to quickly secure tens of billions of euros of new capital, as the continent’s spreading debt crisis increasingly engulfs the banking system.

The International Monetary Fund warned the global financial system is more vulnerable now than at any point since the financial crisis of three years ago, as Europe’s debt crisis risks trigger a treacherous slide back into the widespread instability that prevailed during the darkest days of 2008.

“We are back in the danger zone,” IMF director José Vinals said on the eve of a key meeting of global finance ministers and central bankers in Washington.

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