Financial markets around the world face a greater risk of instability this year despite the economic outlook is favorable in general, warned the International Monetary Fund (IMF).
In a semiannual report on the subject, the institution explained that this risk is due mainly to the deterioration in U.S. mortgage sector, which began tracking problems from September

Financial markets around the world face a greater risk of instability this year despite the economic outlook is favorable in general, warned the International Monetary Fund (IMF).

In a semiannual report on the subject, the institution explained that this risk is due mainly to the deterioration in U.S. mortgage sector, which began tracking problems from September 2006.

“The deterioration in the U.S. market for subprime mortgages has been faster than expected and although the impact has been limited, could still spread to other segments of the market,” said the IMF.

He added that while housing prices remain stagnant in the United States, has increased the number of debtors who cannot afford the payments, particularly among those who purchased loans with higher interest rates average due to poor credit history.

These subprime mortgages have caused the bankruptcy of some companies with portfolios of such loans.

Another risk factor, as the Fund, is the wave of acquisitions by some venture capital funds, financed mainly by issuing debt.

These operations involve higher external liabilities for those companies, which increases their vulnerability to any changes.

Despite these dangers, the IMF said the risks were reduced from emerging markets through the administration and management of national debt has improved in developing countries in general.