IMF

Global Economic Crisis: Are we Better or Worse off than 2008? The Greek economic crisis is at the heart of the problems of the world economic crisis and for as long as France and Germany continue to ignore the realities that Greece must be allowed default on its debts, the European and world economies will suffer the consequences.

A meeting of emerging economies on Thursday will consider a Brazilian proposal to buy European bonds to help crisis-hit euro zone countries, South Africa's Finance Minister Pravin Gordhan said on Wednesday.

Europe's debt crisis has increased the risk exposure of banks in the region by 300 billion euros ($410 billion) and they need to recapitalize to ensure they can weather potential losses, the International Monetary Fund said on Wednesday.

The Greek cabinet was expected to outline major public sector layoffs, more spending cuts and tax increases on Wednesday to secure a bailout installment crucial to avoid running out of money next month.

Britain's top share index slipped back on Wednesday, weighed down by concerns over Greece's ability to stave off a default, as investors focused on the possibility of further economic stimulus from the U.S. Federal Reserve.

Greece pledged to bring forward painful austerity measures on Tuesday, convincing international lenders to return to Athens early next week for talks that it hopes will secure the aid it needs to avert bankruptcy.

Strong policies are urgently needed to increase economic growth and reduce the risk of a double-dip recession in the developed world, the International Monetary Fund (IMF) said in its revised World Economic Outlook. The IMF also decreased its 2011 global GDP growth forecast to 4 percent, down 0.3 percentage points from the June 2011 forecast.

Europe will come under heavy pressure this week to stem its deepening debt crisis but talks among the self-proclaimed guardians of global finance are unlikely to yield bold action.

Gold prices rose over the $1,800 mark Tuesday on expectations that the Federal Reserve will decide this week on further steps to stimulate the economy and fresh evidence that the economy needs some stimulation.

Standard & Poor's cut Italy's credit rating on Tuesday in a surprise move that increased strains on the debt-stressed euro zone and raised pressure on policymakers to take more decisive action to resolve the crisis.

Standard & Poor's cut its unsolicited ratings on Italy by one notch on Tuesday, a surprise move that sharply increases strains on the debt-stressed euro zone and piles pressure on policymakers to take more decisive action to resolve the crisis.

International lenders told Greece on Monday it must shrink its public sector and improve tax collection to avoid default within weeks as investors spooked by political setbacks in Europe dumped risky euro zone assets.

European equity markets are again plunging in Monday trading largely on fears of a Greek default.

Gold prices rallied on Monday after European policy makers failed to soothe fears of Greek default and contagion to other euro zone countries, prompting investors to seek refuge in the precious metal.

Greece must implement reforms agreed under an EU/IMF bailout plan and improve tax collection to qualify for further rescue payments, the IMF said on Monday.

Brown explained that the financial woes in Europe are, at their essence, a crisis in banking, not debt.

Geithner is currently in Warsaw, Poland to meet with Eurozone finance ministers to find a way out of the continent’s huge debt problems after more than two years of bailouts, wrecked economies and bickering.

The International Monetary Fund raised its forecast for growth in Ivory Coast on Thursday, citing a faster-than-expected rebound in industrial and agricultural production since the end of a post-election conflict.

The new loan offers will be conducted in October, November and December.

Treasury Secretary Timothy Geithner will discuss with European finance ministers the possibility of leveraging the euro zone's bailout fund to make it more effective in fighting the debt crisis.

Asian stocks bounced on Thursday after tentative steps by euro zone policymakers to tackle a crippling debt crisis, but investors remained wary that obstacles the bloc's leaders face could weigh on the euro and Asian currencies in the medium term.