The International Monetary Fund wants to raise hundreds of billions of
dollars to boost its financial firepower—despite U.S. resistance—to cope
with the effects of Europe's debt crisis. The IMF said it is seeking $500
billion in new lending capacity.
The IMF plans
indicate a growing willingness of some nations to bear the costs of rescuing
the troubled euro zone, but also a lack of consensus on how to do so.
latest efforts highlight
outlook for the 17-nation euro zone.
Euro-zone nations have struggled to raise enough money on their own to
contain the crisis because of political and financial obstacles.
The IMF, the
world's emergency lender, has almost $400 billion in available resources.
While that is plenty for the IMF's usual lending programs to small
economies, it is far too little to rescue larger debt-burdened nations such
as Italy and Spain.
financial turmoil also could spark economic crises in other parts of the
The IMF staff estimated the fund could need about $1 trillion to meet
global financing needs in the coming years.
– WALL STREET JOURNAL