Washington - While US President George W Bush signed a much- awaited 700-billion-dollar rescue package deemed critical to keep the US economy afloat, it appeared Wall Street had already turned the next dark corner.

The Dow Jones Industrial Average lost 1.5 per cent of its value on Friday, a surprise to those who expected that the bail-out's approval would buy at least one day of goodwill.

Washington - Simon Johnson, the former chief economist of the International Monetary Fund, warned of a global recession as a result of the devastating financial crisis that has struck the United States and Europe.

In a telephone interview with Deutsche Presse-Agentur dpa, Johnson said the 700-billion-dollar rescue package passed by the US Congress and signed by President George W Bush on Friday was only a "stop-gap measure" that would not prevent a serious contraction of the world's largest economy.

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Amsterdam - The governments of Belgium and Luxembourg have transferred their shares in bank and insurance giant Fortis to the Netherlands, including the Dutch ABN Amro banking division.

Dutch newswire ANP reported Friday that Belgian Prime Minister Yves Leterme had made the announcement following the Belgian government's weekly meeting.

The agreement is worth some 16.8 billion euros (23.27 billion dollars), Leterme was quoted as saying.

The House of Representatives Friday began 90 minutes of debate on the new version of the finance rescue plan, but in a mood of resignation about the politically unpopular bail-out of Wall Street.

Representative Charles Rangel of New York began the speech-making, saying Congress was acting on the 700-billion-dollar rescue plan "with a political pistol at our heads."

London  - Britain Friday increased the upper limit of guarantees offered to savers on deposits to 50,000 pounds (90,000 dollars), the Financial Services Authority (FSA) said.

The increase from 35,000 pounds is due to come into force next Tuesday as part of a wider package of stabilization measures worked out after the near-collapse of the Northern Rock lender last year.

The Financial Services Compensation Scheme would also pay up to 100,000 pounds to couples with a joint account who lost money when a bank failed, said the FSA.