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IMF urges central banks to ensure liquidity throughout pandemic

The crisis will “test banks’ resilience”, the international organisation said

The International Monetary Fund has warned global banks against taking excessive risks due to profitability pressures once the Covid-19 crisis is resolved.

In its Global Financial Stability report released on 22 May, the group expects profitability in the banking sector to be hit but said that regardless of this, central banks must continue to provide liquidity to the financial system.

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