Dominique Strauss-Kahn, the managing director of the International Monetary Fund, said about half of bank losses from the global financial crisis have yet to be revealed.
"It is our view we are still in the situation where a lot of losses haven't been disclosed," Strauss-Kahn said during questions at the Confederation of British Industry's conference in London on Monday. "How much is a difficult assessment, but let's say something which is close to half of it."
Banking systems "remain undercapitalized" in many advanced economies with "far from normal" financial conditions, Strauss-Kahn said in a speech to the conference. The IMF said in September that banks may have $1.5 trillion in toxic debt remaining on their books, which may hurt credit markets and stifle the global economic recovery.
"Probably a little more has been disclosed in the U.S. and a little less in Europe, but it's almost half and half," Strauss-Kahn said. "So, we still have a long way to go."
