The Dangerous Juncture

IMF chief Christine Lagarde has told a roundtable on Africa's economic future in Lagos that the world economy is at "a very dangerous juncture".

Despite this, as predicted, the European finance ministers failed yesterday to raise Euro 200BN for the IMF.

However, France is not depressed and has issued an upbeat prediction (or is it a wish?) that the UK (the country that it was criticising so publicly a few days ago) will provide funds to the IMF.

The Germans were also displaying a heavy handed attempt at buttering the Brits, up when Guido Westerwelle, the German foreign minister, described the UK as an "indispensable partner" and promising a "hands-off" approach to our financial services industry.

"My main message is for the British people – you can count on us, and we can count on you. There is no doubt that we want to make the next steps in the EU together as 27. I am here to show you that we are willing to build bridges over troubled water."

How the tone has changed, clearly things really are bad!