Managing Director of the International Monetary Fund (IMF) Christine Lagarde claimed that trade tensions affect innocent bystanders, and recommended those involved "sit around the table" and improve the system, when answering a question on US-China trade wars on the sidelines of the annual IMF meeting in Nusa Dua in Bali on Thursday.

"My recommendation is very simple and it holds in three words: de-escalate, fix the system and don't break it," concluded Christine Lagarde.

Commenting the reports about possible bailout request from Pakistan, the Head of IMF said that she was going to meet the country's finance minister later that day adding "I'm assuming that there might be a program request on their part."

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