The IMF with its usual several year delay, discovered what pretty much everyone else had known for years: that emerging markets have massively overborrowed, according to the IMF to the tune of $3 trillion, most notably in China.

Of course, this is one of the many things we have been cautioning about for the past 6 years, perhaps nowhere more vividly than in this November 2013 infographic showing “November 2013.”

So now that the IMF has finally caught up with what our readers knew two years ago, here are some more of its “profound” observations:

This dangerous over-leveraging now threatens to unleash a wave of defaults that will imperil an already weak global economy, said stark findings from the IMF's twice yearly report.

The Fund warned there was no margin for error for policymakers navigating these hazardous risks.

“Policy missteps and adverse shocks could result in prolonged global market turmoil that would ultimately stall the economic recovery,” said Jose Viñals, financial counsellor at the IMF.

And just when one thinks there is hope yet for the IMF, and it is almost on the same page as the BIS (the same BIS whose board of directors is comprised of all modern central bankers of course), the IMF goes and says what its policy recommendation is: engage in the same policies that have not only failed, but led the world to the brink, but not just one where the market can plunge 20%, 40%, or more percent, but where the entire neo-Keynesian/fiat/fractional reserve system is ultimately left discredited in the garbage heap of history, where it belongs.

The world's major central banks should ensure policy remains “accommodative” for fear of setting off a new wave of instability that would see bond prices rise and asset prices collapse, said the IMF.

In fact, just do more QE. Best of all, just paradrop money right; after all that $200 trillion in global debt (and a few quadrillion in derivatives) won't inflate itself away, right?