Risks in the global financial system have risen substantially in recent months, and they aren’t coming only from Europe and the United States, the International Monetary Fund warned on Wednesday.

The European debt crisis, the U.S debt ceiling debacle and a worldwide search by investors for yield at a time of record low interest rates have increased the risks of financial turmoil for the first time since the fall of 2008, in the wake of the collapse of Lehman Brothers Holdings, the fund said in its semiannual Global Financial Stability Report. “This environment of financial and political weakness elevates concerns about default risk and demands a coherent strategy to address contagion and strengthen financial systems,” the report says.

For the first time, the IMF put a number on the cost of the European debt crisis. European banks have seen their holdings of European sovereign debt decline in value by about €200 billion since the debt crisis erupted at the end of 2009, the report states. That estimate values banks’ holdings of Greek, Irish, Portuguese, Belgian, Italian and Spanish debt at the levels implied by recent spreads on those countries’ credit default swaps. If banks’ holdings of the debt of banks in those countries are added to the mix, the decline in value mounts to €300 billion.

The report seems sure to trigger a tense debate between the IMF and European officials during the annual meetings of the IMF and World Bank, which begin in earnest in Washington on Thursday and continue through Sunday. In her first major policy speech last month, the IMF managing director Christine Lagarde called for European banks to increase their capital to cope with the sovereign debt crisis, prompting vigorous denials from European governments, which insist their banks are sound and that European governments won’t go bust. A stress test by the European Banking Authority in July found a capital shortfall of just €2.5 billion among Europe’s 91 leading banks, but that test excluded most of the banks’ sovereign debt holdings.

José Viñals, the IMF’s financial counselor, said the €200 billion loss estimate didn’t imply that European banks needed to raise that much capital, but he insisted that more capital was needed to convince financial markets that the banking system was sound. “The bar that the markets require has risen,” he said. Banking industry complaints that higher capital levels would increase bank costs and reduce the supply of credit to the economy were exaggerated, he said.