Countries must keep fiscal spending targeted and temporary as broad-based, persistent stimulus could increase inflationary risks and compel central banks to raise interest rates, the head of the Bank for International Settlements (BIS) said in an interview with Japan's Nikkei newspaper. Prolonged disruptions in the Middle East could also pose risks to global financial stability with rising public debt in the last 15 years increasingly being intermediated by nonbank financial institutions, including highly leveraged hedge funds, said Pablo Hernandez de Cos, general manager of the BIS. [...]