Geopolitical risks set to fuel financial instability, IMF says

Report urges supervisors to integrate this factor into their stress tests

Financial crisis

Growing geopolitical tensions will imperil financial stability, which requires supervisors to integrate these risks into their stress tests, says research published by the International Monetary Fund.

The Russian invasion of Ukraine, and the increasingly confrontational relations between the US and China, could contribute to the fragmentation of the global financial system.

This may have important implications for financial stability, “affecting cross-border investment, international payment

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