On Wednesday the head of IMF Christine Lagarde warned over the plunging global economy due to some of the crisis. The IMF chief asked the support of rich nations to shoulder the burdens and thus bring in growth and confidence. During the financial forum which was held in the Chinese capital certain European plans were discussed in details. The need to bolster the rescue package for Greece which is right decision due to which the economy is dangerous and uncertain.

There has been uncertain economy for some of the advanced economies especially for European union and United states. The whole world needs to act together instead of boldly as there is a risk for financial instability and potential collapse. Some of the experts have been calling the risk for the lost decade since Japan has already started experiencing deflation. The deflation which has been persisting has created economic impotence and could raise further problems say analysts.

The main meeting was to focus on the crisis in Europe and was participated by Greece and Italy prime minsters. Lagarde even spoke about the technical details of the European Union Plan which would be boosting the European Financial Stability Fund(EFSF). There would be some help received from emerging countries which are lead BY China hopes European policymakers. More of the foreign exchange reserves of the emerging countries when invested in Euro zone will help to end the debt crisis.