BIS warns debt and new risks complicate crises
Rising public debt and growing non-bank financial institutions will make future crisis responses more difficult for central banks. BIS chief Pablo Hernandez de Cos warned that new technologies could also accelerate market turmoil.
Rising public debt and rapid market shifts will complicate central banks' crisis responses, Bank for International Settlements official Pablo Hernández de Cos warned Monday afternoon. Public debt levels sit near post-World War Two highs across many economies, blurring the line between market intervention and fiscal support. That overlap threatens to undermine the credibility of future monetary interventions as borrowing costs climb globally.
