The global economy still faces risks of prolonged slump in Europe where stronger actions are needed to boost demand, the senior U.S.[Hong Kong Company Formation & Registration] treasury department official said on Monday.

"If you look across the global landscape, there are reasons to be concerned that some parts of the world aren't doing enough to bolster domestic demand," said Lael Brainard, treasury undersecretary for international affairs, at a conference hosted by the Carnegie Endowment for International Peace.

Brainard said the U.S. economy is now on a stronger footing, with more resilient banking system and an rebounding housing sector, but the world economy still faces risks of protracted stagnation, especially in Europe, which accounts for one-fifth of the global demand.

[company registration in Hong Kong, Hong Kong company incorporation]"Stronger action to support demand" are needed, she added.

Brainard said she continued to see resilience of the emerging economies as a group though there is "substantial diversity" among different countries.

While noting that there are areas where political and economic risks may coincide and areas where new risk exposures may build up,[Company Registration in USA] she said "many of the emerging economies have substantial capacities to support domestic demand and to contribute to global growth."