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Global stock mar­kets are at risk of a sud­den cor­rec­tion as the arti­fi­cial intel­li­gence boom pushes valu­ations towards dot­com-bubble levels, both the IMF and Bank of Eng­land have warned.

Kristalina Geor­gieva, IMF man­aging dir­ector, yes­ter­day said bullish mar­ket sen­ti­ment about “the pro­ductiv­ity­en­han­cing poten­tial of AI” could “turn abruptly”, hit­ting the world eco­nomy.

She was speak­ing hours after the BoE body over­see­ing fin­an­cial sta­bil­ity risks also drew par­al­lels with the 2000 crash that fol­lowed the dot­com boom, warn­ing of the risk of a “sud­den cor­rec­tion” in global fin­an­cial mar­kets.

“Today’s valu­ations are head­ing towards levels we saw dur­ing the bullish­ness about the inter­net 25 years ago,” Geor­gieva said in a speech ahead of the IMF’s annual gath­er­ing next week.