The global credit squeeze is a "serious crisis" that is not over yet and will have an impact on government budgets, the IMF's outgoing head Rodrigo Rato said in an interview published Monday.
Speaking to the Financial Times from Washington, IMF Managing Director Rato said: "Policymakers should not think that the problems will stay at the desk of the bankers."
"Problems are going to come to the real sector, come to the budgets -- that is something we keep telling people."
Rato said that it would be "a few months, probably into next year" before the availability of funds returned to normal levels in the markets, which was "going to have an impact on growth."
He noted that the limitation on growth would mean that finance ministers would have to amend their budgets, but he told the FT that it did not seem that many were willing to do so.
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