IMF’s Lagarde says fintech will shake the system
Friday, 04 12 2019, Category: Banking, Country: World
International Monetary Fund Head, Christine Lagarde, told the World Economic Forum in Davos, “fintech is going to shake the system.” She also urged against relying on central banks in the next financial crisis, at the CNBC-hosted panel.
Her comments followed UBS CEO, Sergio Ermotti, saying that he hoped “we don’t rely on central banks to resolve the issues,” in the wake of another crash. He suggested that some central banks have “very limited ammunition,” while others perhaps had a bit more flexibility.
Lagarde concurred that “It would be very nice if the economies at large didn’t have to rely on the central banks yet again in order to resist the next shock”.
She singled out Mark Carney of the Bank of England, and Jay Powell of the Federal Reserve, as two of the very few central bankers who have a little bit of space to maneuver in the wake of the next downturn.