The global credit crisis is not over, and its effects will be long lasting, the International Monetary Fund has warned.

The organisation's twice-yearly Global Financial Stability report warned that many of the lax lending practices of the past few years will have to change, and economic growth will be crimped by the current correction.

Adding to the gloom, Rodrigo Rato, the IMF's managing director, said yesterday the US will bear the brunt of the economic consequences of the crisis, with the bulk of the impact not being felt until next year.

 Source : Independent UK