FSF to suggest radical solutions to turmoil

The Financial Stability Forum (FSF) is set to propose a series of unorthodox measures for fighting the credit crunch, say media reports.

The Financial Times, a newspaper, reported on Tuesday 1 April that the FSF, which met on 28 and 29 March, has prepared a paper which includes proposals such as the temporary suspension of capital requirements, a recapitalisation of banks funded by the taxpayer and the outright public purchase of mortgage-backed securities.

Other ideas included the proposal that

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