IMF and eurozone clash over estimates

Article reports that International Monetary Fund staff provoked a fierce dispute with eurozone authorities in August 2011 by circulating estimates showing serious damage to European banks’ balance sheets from their holdings of troubled eurozone sovereign debt.

The analysis, which was discussed by the IMF’s executive board in Washington on the 31 August 2011, was strongly rebutted by the European Central Bank and eurozone governments, which said it was partial and misleading.

ESO: Background information: Lagarde calls for urgent action on banks http://www.europeansources.info/record/lagarde-calls-for-urgent-action-on-banks/

IMF: Global Financial Stability Report (GFSR) http://www.imf.org/external/pubs/ft/gfsr/

IASB: Projects: Work plan for IFRSs: IFRS 9: Financial Instruments: Correspondence: Following media reports of a letter from the IASB to ESMA on 4 August 2011, the IASB has decided to make available the letter regarding the accounting for Greek government bonds http://www.ifrs.org/Current+Projects/IASB+Projects/Financial+Instruments+A+Replacement+of+IAS+39+Financial+Instruments+Recognitio/correspondence/correspondence.htm

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