IMF Chief Urges Changes to Monetary System to Prevent Crises

International Monetary Fund Managing Director Dominique Strauss-Kahn urged policy makers to strengthen the global monetary system to correct flaws that could pave the way for the next crisis.

“Global imbalances are back, with issues that worried us before the crisis -- large and volatile capital flows, exchange rate pressures, rapidly growing excess reserves -- on the front burner once again,” Strauss-Kahn said in the text of a speech in Washington today. “Left unresolved, these problems could even sow the seeds of the next crisis.”