Financial Stability: The Good and Bad of Lower Rates
Low interest rates support economic growth but come at a cost, says latest IMF Global Financial Stability Report. (iStock by Getty images/uzenzen)
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In This Episode
The Global Financial Stability Report exposes weak spots in the global economy that could amplify the impact of a shock, such as an intensification of trade tensions or rising corporate debt. Fabio Natalucci heads the team of economists who write the GFSR. In this podcast, Natalucci says if current trends continue, debt owed by firms unable to cover interest expenses with earnings, or debt-at-risk, could rise to $19 trillion.
