IMF's Georgieva urges more scrutiny of non-bank lenders

The International Monetary Fund is urging countries to pay more attention to risks that may be building up in non-bank lending markets after the collapse of two U.S. automotive firms, IMF Managing Director Kristalina Georgieva said on Thursday.

Georgieva told a news conference during the IMF and World Bank annual meetings that non-bank financial institutions are less regulated than traditional banks and may be more susceptible to risks.

"Whether that kind of problem can be more dramatic, of course, depends on two things," Georgieva said. "It depends on the performance of the real economy, and it depends on the magnitude of non-banking financial institutions that find themselves in a tough spot, and this is why we are urging more attention to these non bank financial institutions," Georgieva said.