The chief of the International Monetary Fund (IMF) has said Italy's financial reform is key to reducing the impact of the eurozone crisis on the rest of the world, including Japan.

Christine Lagarde said Italy must promptly restore political stability and implement financial reforms to improve the ongoing eurozone crisis and offset its global impact.

After meeting with top Japanese financial and banking officials in Tokyo, Ms Lagarde expressed concerns about the consequences of the eurozone, particularly on Asia.

She said that all countries are interconnected and that Japan is no more immune than other nations.

Europe has bailed out Greece, Portugal and Ireland. Italy is now under pressure to control its dangerous debt and restore credible political leadership.

Sign up to our free newsletters

Get the best updates straight to your inbox:
Please select at least one mailing list.

You can unsubscribe at any time by clicking the link in the footer of our emails. We use Mailchimp as our marketing platform. By subscribing, you acknowledge that your information will be transferred to Mailchimp for processing.