‘Wartime’ debt threat to global economy: Lagarde

Public debt in developed countries standing at ”wartime levels” is the biggest threat to the global economy, IMF chief Christine Lagarde warned in Tokyo on Friday.

The International Monetary Fund’s managing director said the creaking debt loads were leaving governments at the mercy of the markets and needed to be reduced.

“Without growth, the future of the global economy is in jeopardy, and perhaps the greatest roadblock will be the huge legacy of public debt, which now averages 110 per cent in advanced economies, pretty much wartime levels,” Lagarde said.

via Business feed http://www.scmp.com/business/economy/article/1059456/wartime-debt-threat-global-economy-lagarde