June 29, 2009 - 1:02am
Last week Financial Stability Board chair and Italian central bank chief Mario Draghi said that while the world economy has significantly improved to date it is still early to say the troubles are over.
"We are more or less back at what we were before Lehman, but we are not back to before the crisis," Financial Stability Board chair and Italian central bank chief Mario Draghi said on Saturday.
"An improvement yes, out of the woods, not yet," he added after the FSB's inaugural meeting.
Meantime, Draghi mentioned two "positive signs": the way US banks in particular have managed to raise $US10 billion ($12.44 billion) in private capital recently, and the strength of corporate bond issuance. But on the other hand, Draghi noted, restructuring of banks remains unfinished while credit channels are still fragile.
The FSB is part of a broadened and strengthened Financial Stability Forum, including central banks, the IMF, World Bank, national regulators and governments, tasked with permanent oversight of the financial system.
It is now expanded to those from the Group of 20 major developed and developing countries, as well as Spain, Switzerland, the European Commission and other countries.
"We are more or less back at what we were before Lehman, but we are not back to before the crisis," Financial Stability Board chair and Italian central bank chief Mario Draghi said on Saturday.
"An improvement yes, out of the woods, not yet," he added after the FSB's inaugural meeting.
Meantime, Draghi mentioned two "positive signs": the way US banks in particular have managed to raise $US10 billion ($12.44 billion) in private capital recently, and the strength of corporate bond issuance. But on the other hand, Draghi noted, restructuring of banks remains unfinished while credit channels are still fragile.
The FSB is part of a broadened and strengthened Financial Stability Forum, including central banks, the IMF, World Bank, national regulators and governments, tasked with permanent oversight of the financial system.
It is now expanded to those from the Group of 20 major developed and developing countries, as well as Spain, Switzerland, the European Commission and other countries.