Fasten your seat belts
Article Abstract:
Banks face competition from capital markets, and their stockholders seek better returns. Banks have increasingly lent to companies that are less creditworthy in order to boost their returns. They have also sought to enter new areas of business that have proved to be risky and expensive, like investment banking. Banks could be hit by bad credit losses in a severe recession. Japanese banks are especially vulnerable to debt deflation with bankruptcies triggered by high real rates of interest.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 1999
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After the quake
Article Abstract:
Mexico will have to spend $30 billion to fix its banking system following the disastrous peso devaluation. But as in other developing countries, financial disaster in Mexico has paved the way for meaningful reforms. Other emerging markets can gain lessons from the Mexican crisis.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 1997
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Bailing and flailing: Thailand
Article Abstract:
The Thai economy is reeling, with slow or stagnant growth, interest rates of 25%, growing unemployment, and the imminent failure of dozens of banks. The Bank of Thailand's fixation on supporting the baht currency is partly to blame.
Publication Name: The Economist (UK)
Subject: Business, international
ISSN: 0013-0613
Year: 1997
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