Push for More IMF Cash Succeeding

Fund seeks more lending resources to guard against deepening of European debt crisis.

The International Monetary Fund won pledges of fresh cash from Japan to Denmark in a sign it may be able to declare victory as soon as this week in its campaign for more lending resources.

Denmark, Norway and Sweden will increase their financing contributions by a total of more than $26 billion, IMF Managing Director Christine Lagarde said today. Hours earlier, Japan said it will provide $60 billion. Europe has already promised about $200 billion.

‘Not Sufficient’

“But even these resources may not be sufficient to bail out both should that be required, not to mention that in such a dire scenario some innocent bystanders may well need IMF support,” he said. “More fundamentally, though, we do not think that ever-larger bailouts are a long-run solution for the euro zone’s underlying problems.”

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