The bank said it would exceed that target if there was a risk of financial market instability.

The market instability is making a lot of people uneasy, but the long term view is still sound.

The market instability was thought to have been caused mainly by concern over the massive federal deficits that continued throughout the 1980's.

Critics of capitalism, particularly Marxists, identify market instability as a permanent feature of capitalist economy.

The third set of worries focus on the question of what happens if market instability turns into something more ominous.

Such a withdrawal could create a new round of market instability and raise the cost of borrowing for all emerging-market countries, damaging them further.

He said the main reason for the market instability was the "undisciplined communication and complexity and incompleteness" of the Greek package.

"Despite our sound economic indicators in Korea, we are currently experiencing financial market instability," Mr. Lim said.

He added that while Mexico could survive "a period of market instability, it must be temporary or the situation will be out of contol."

Worsening market instability has contributed to exacerbating the situations of many companies which have proven less able to adjust to globalisation.