An article this morning reports Christine Lagarde, the Managing Director of the International Monetary Fund, today has said "struggling European countries such as Greece and Spain should be given more time to reduce their budget gaps".

While this is not a clear departure from Ms. Lagarde's (and the IMF's) consistent message over the past few months that (simply stated) 'government's ought to get on with things as soon as possible', for me it does raise a red flag in the possible context of 'the economic problems of some countries are clearly so big as to need more time to solve them than perhaps previously thought'.

If there is anything to this, the economic problems faced by countries in economic distress - and of those who apparently for the time being at least appear willing to support those countries financially - seem rather circular, where in the end circular likely means a downward spiral at an increasing rate of speed.

For an example of the IMF's continued 'call for quick action' see an article published yesterday titled IMF Demands Swift Banking Union in Europe.

Topical Reference: IMF says Greece, Spain should be given more time to cut deficits, from Fox Business, from Reuters, Julien Toyer, October 11, 2012 - reading time 3 minutes. Also see IMF Demands Swift Banking Union in Europe, from Spiegel Online, October 10, 2012 - reading time 3 minutes.