World Financial Market’s State Far From Normal – US Federal Reserve System
Azerbaijan, Baku, 14 May / Trend corr A. Badalova/ The present state of the world's financial markets is far from normal, Ben Bernanke, head of the US Federal Reserve System, stated on the Bloomberg TV on 13 May.
According to Bernanke, companies require time to solve the fiscal crises.
In order to overpass the crisis's impact on the mortgage crediting market, since mid September Federal Reserve System has reduced the rate seven times by 3.25 percentage points to 2%, while the administration of the European Central Bank stated that it is not going to change the key percentage rate which is 4%.
According to Bernanke, the measures taken by the Federal Reserve Fund had fetched some results. Moreover, Federal Reserve System is ready to offer loans to the banks.
"Problems in the financial market remain unsolved and we are ready to increase the credits for financial development," Bernanke said.
"The Federal Reserve System is considering various opportunities to improve the situation and tries to solve the 'moral crisis threat' through re-consideration of the policy applied towards the market liquidity risk management," he said.
The correspondent can be contacted at: [email protected]