The International Monetary Fund says the extremely loose monetary policies of some advanced economies are posing potential risks to global financial stability.
In its "Global Financial Stability Report", the IMF highlighted credit risk mis-pricing, weaker pension and insurance funds, and rising liquidity, as being of particular concern. The fund says policy-makers must continue to try to cut public debt and rebalance the financial sector.
Meanwhile, the IMF also warns that corporate international borrowing by companies from emerging economies has been growing at a record pace, exposing businesses to foreign currency risks and rising leverage.
The fund says emerging market economies must be vigilant against deteriorating bank asset quality and disruptive short-term capital flows.