Why Are The IMF, The UN, The BIS And Citibank All Warning That Economic Crisis Could Be Imminent?By Michael Snyder Governments and central banks risk tipping the world into a fresh financial crisis, the International Monetary Fund has warned, as it called time on a corporate debt binge in the developing world. Emerging market companies have over-borrowed by $3 trillion in the last decade, reflecting a quadrupling of private sector debt between 2004 and 2014, found the IMFs Global Financial Stability Report. This dangerous over-leveraging now threatens to unleash a wave of defaults that will imperil an already weak global economy, said stark findings from the IMFs twice yearly report. The IMF is actually telling the truth in this instance. We are in the midst of the greatest debt bubble the world has ever seen, and it is a monumental threat to the global financial system. But even though we know about this threat, that doesnt mean that we can do anything about it at this point or stop what is about to happen. The Bank of England, the UN and the Bank for International Settlements have all issued similar ominous warnings. The following is an excerpt from a recent article inthe Guardian The IMFs warning echoes a chorus of others. The Bank of Englands chief economist, Andy Haldane, has argued that the world is entering the latest episode of a three-part crisis trilogy. Unctad, the UNs trade and development arm, would like to see advanced economies boost public spending to offset the downturn in emerging economies. The Bank for International Settlements believes interest rates have been too low for too long, encouraging too much risk-taking in financial markets. All of them fear that the global financial system is primed for a crisis. I particularly like Andy Haldanes likening our current situation to a three-part crisis trilogy. I think that is perfect. And if you are familiar with movie trilogies, then you know that the last episode is usually the biggest and the baddest. Citigroup economist Willem Buiter also believes that big trouble is on the horizon. In fact, he is publicly warning of a global recessionin 2016 Citigroup economist Willem Buiter looks at the world landscape and sees an economy performing substantially below potential output, which he uses as the general benchmark for the idea of a global recession. With that in mind, he said the chances of a global recession in 2016 are growing. We think that the evidence suggests that the global output gap is negative and that the global economy is currently growing at a rate below global potential growth. The (negative) output gap is therefore widening, Buiter said in a note to clients. He added, from an output gap that was probably quite close to zero fairly recently, continued sub-par global growth is likely to put the global economy back into recession, if indeed the world ever fully emerged of the recession caused by the global financial crisis. Usually when we are plunged into a new crisis there is some sort of trigger event that creates widespread panic. Yesterday, I wrote about the ongoing problems at commodity giants such as Glencore, Trafigura and The Noble Group. The collapse of any of them could potentially be a new Lehman Brothers moment. But something else happened just yesterday that is also extremely concerning. Just a couple of weeks ago, I warned that the biggest bank in Germany, Deutsche Bank, was on the verge of massive trouble. Well, on Wednesday the bank announced a lossof more than 6 billion dollars for the third quarter of 2015 Deutsche Banks new boss John Cryan set about cleaning up Germanys biggest bank on Thursday, revealing a record pre-tax loss of 6 billion euros ($6.7 billion) in the third quarter and warning investors of a possible dividend cut. Write downs, impairments and litigation costs all contributed to the loss, the bank said. Cryan became chief executive in July with a promise to cut costs. The Briton is accelerating plans to shed assets and exit countries to shrink the bank and is preparing to ax about 23,000 jobs, or a quarter of the banks staff, sources told Reuters last month. Keep an eye on Germany the problems there are just beginning. Something else that I am closely watching is the fact that major exporting nations such as China that used to buy up lots of U.S. government debt are now dumping that debt at an unprecedented pace. The following comes fromWolf Richter Five large purchasers of US Treasuries China, Russia, Norway, Brazil, and Taiwan have changed their minds. Theyre dumping Treasuries, each for their own reasons that are now coinciding. And at the fastest rate on record. For the 12-month period ended July, sales of Treasuries by central banks around the world reached a net of $123 billion, the biggest decline since data started to be collected in 1978, the Wall Street Journal reported. China, the largest foreign owner of Treasuries its hoard peaking at $1.317 trillion in November 2013 has been unloading with particular passion. By July, the latest data available from the US Treasury Department, Chinas pile was down to $1.241 trillion. Yes, I know, the stock market went up once again on Thursday, and all of the irrational optimists are once again telling us that everything is going to be just fine. The truth, of course, is that everything is not going to be just fine. Ever since I started the Economic Collapse Blog, I have never wavered in my belief that the greatest economic crisis that the United States has ever seen is coming, and I have written well over 1000 articles setting forth the case for the coming collapse in excruciating detail. Nobody is going to be able to say that I didnt try to warn them. Those who have blind faith in Barack Obama, Wall Street, the Federal Reserve and the other major central banks around the planet will continue to mock the idea that a major collapse is coming for as long as they can. But when the day of reckoning does arrive and crisis coming knocking at their doors, what will they do then? Michael Snyder is a writer, speaker and activist who writes and edits his own blogs The American Dream and Economic Collapse Blog. Follow him on Twitter here. The Gramm-Leach Bill, ending Glass-Steagle, blew open the henhouse doors to all the nest egg-sucking Wall Street foxes. Shuffling investment casino money in with commercial banking mortgage payments exposed middle-America to risky downsides that they would wind up paying for severely. I only hope that the Olympic Committee will institute a new sport category called banker diving from 30 floors [without a net and no opt-out]. 