The International Monetary Fund said Friday that Europe has made progress in addressing its financial crisis,
which has lingered for more than three years, but stressed that
financial stability remains 'fragile.'
In its first-ever overall review of the stability of the European
Union's financial sector, the IMF called for 'fast and sustained
progress' by the euro area to 'quickly' put into operation a single
European stability mechanism that can directly recapitalize troubled
banks, dpa reported.
Such an entity is seen as crucial to restoring trust between
financial partners and preventing a repeat of the crisis, as it could
be used to break the link between the banking crisis and sovereign