The estimate of toxic debts on bank and insurance balance sheets originating from the U.S. is now $3.1 trillion from $2.2 trillion in October, the International Monetary Fund will likely say later this month, according to a report.
An additional $900 billion of toxic assets will be added to the total, The Times of London reported.
The forecast may be revised again before the end of the month, the report states.
In a January report, the IMF said most of the deterioration in the assets occurred in the mark-to-market portion of its estimates, mostly in securities.
“Going forward, banks will need even more capital as expected losses continue to mount,” the IMF said at the time.