Failure to raise U.S. debt ceiling will affect global economy: IMF chief

The International Monetary Fund (IMF) chief warned Thursday that if U.S. Congress failed to raise the government's borrowing authority, it would seriously damage both the U.S. economy and the global economy, urging U.S. lawmakers to solve their fiscal disputes in a timely manner.

"In the midst of this fiscal challenge, the ongoing political uncertainty over the budget and the debt ceiling does not help," IMF Managing Director Christine Lagarde spoke on the third day of a partial U.S. federal government shutdown.