IMF trillion blocking crisis: providing loans will change.

<P> Yesterday, the International Monetary Fund (IMF) said the president of Kahn, IMF is seeking commitment of the parties, in order to bring its lending resources from the 750 billion U.S. dollars to 1 trillion U.S. dollars, to prevent future financial crises in order to build a secure network .. .This is also the IMF, held in London in 2009, following the Group of 20 (G20) meeting of 500 billion U.S. dollars capital increase, the first request for funds to expand the scale. .</ P> <P> "Even in times of financial crisis has healed, a large reserve fund would help prevent the crisis from happening again, because our funding role has been weakened, but that does not mean that we do not deal with the problem of program ., 1 trillion fund scheme is a reasonable forecast. "Kahn said. .</ P> <P> capital increase in order to maintain international status </ P> <P> "IMF extended fund size is an inevitable trend." Shanghai University of Finance and Associate Director, Center of Modern Finance Jun Yang Xi said, "On the one hand, global .within the growing volume of financial transactions, while the demand for assistance payments is also rising. On the other hand, IMF need substantial funds to improve their ability to aid and international status, once the IMF's lack of funds, its international status and .Prestige will drop. So, after intervals, IMF naturally produce their expansion requirements. "</ P> <P> Sun Lijian, vice president of Fudan University in economics that, IMF bailout funds more adequate for solving .the question by the natural relief object the better. .But he also said: "IMF continued expansion in the size of funds, we must guard against the emergence of moral hazard, because when a backup by the relief object, the stronger, then their own efforts by rescuers will be less." </ P> < .P> As the Chairman of G20 countries this year, Korea is helping to develop relevant plans, to convince the G20 countries support an increase in IMF's financial strength. .A U.S. official said the United States on the idea of improving the financial safety net have a good impression, but need to understand the IMF capital increase plan in more detail. .In this regard, Sun Lijian said, "For the IMF has veto power in the United States, the increase in IMF funds to their benefit, will naturally be stronger." </ P> <P> later transferred prior negotiations advance </ P .> <P> Moreover, IMF lending to countries on the way related to or will change. .</ P> <P> Korean Shin Hyunsong president for international economic adviser said that the current of a "global stability mechanism" may need to curve depicting the risk of countries, including countries with the lowest risk of like platinum or gold card holders enjoy .status, be eligible to obtain the relevant amount of IMF financing. .These funds may be in place before the crisis hit, and almost without any conditions. .High-risk countries will face a relatively stringent conditions. .Loans for these countries will be called "preventive credits." .</ P> <P> "IMF wanted to make this change the background and the current global financial situation changes in the pattern of a great relationship." Jun Yang Xi pointed out that "before the financial crisis is often some of the more backward countries, and .More and more countries seem to be more vulnerable, while the traditional mode of operation to provide loans and less efficient. "</ P> <P> Sun Lijian also think, IMF conditional loan after the shift in the incentive prior .a significant change in reasonable, "after the crisis, IMF conditions attached to loans are often the recipients country can not afford, so the negotiations particularly difficult, efficiency is relatively lagging behind. The pre-default under the credit risk countries, you can .urge all countries to do a good job in normal times, risk control, to prevent the occurrence of excessive risk-taking behavior, and improve the efficiency of aid programs. " .</ P>.