• Sat
  • Dec 27, 2014
  • Updated: 9:48pm

Global Financial Crisis

The Global Financial Crisis of 2007-2008 was widely blamed on the subprime crisis and its fallout, which led to the collapse of Lehman Brothers in 2008, with the US government forced to bail out AIG, and to rescue both General Motors and Chrysler, while also adding liquidity to avert a severe credit crunch in the banking sector. Banks in Europe, the US and Britain also came under extreme pressure and the GFC contributed to the euro zone sovereign debt crisis.

Investors go loco for cocos amid secular stagnation

In a secularly stagnant world, we will have to hop from one bubble to another. Photo: Reuters

You have to give the world’s big banks this: they’ve got gumption.

Monday, 15 December, 2014, 9:35am

Britain’s financial services firms add staff on expectations of higher profits

Research shows that financial sector firms in London created thousands of new jobs last month. Photo: Reuters

6 Oct 2014 - 1:33pm

Easy come, easy go as emerging markets discover with US Fed tapering

Easy come, easy go as emerging markets discover with US Fed tapering

During the financial crisis, the major emerging markets escaped the damage from the United States and European Union relatively unscathed. Not any more. The rout in the capital markets of the emerging economies in the past week is a reminder that many of them face serious problems from heavy government debt to large current account deficits. In a sense, it was a continuation of the mayhem they experienced during last summer, when talks about tapering by the US Federal Reserve were first raised.

29 Jan 2014 - 4:09am

EU lawmakers reach accord on financial market rules

Michel Barnier, European Commissioner for Internal Market and Services

European Union lawmakers have clinched a deal that overhauls the bloc's financial market rulebook in a bid to toughen requirements and remedy deficiencies laid bare in the 2008 financial crisis.

16 Jan 2014 - 2:36am

The moral hazards of intervening in the market

Christoper Cheung Wah-fung, lawmaker for financial services sector

Things have never been the same in the financial world since the 2008-09 global crisis, but globally governments and bureaucrats are still trying to reshape them so that it does not happen again. In Hong Kong the government proposes to adopt powers of market intervention that not long ago would have been anathema to our free-wheeling economy. This would bring the city into line with rules brought in by the Financial Stability Board established by the Group of 20 industrialised countries after the avalanche of defaults that froze credit markets during the crisis.

13 Jan 2014 - 4:47am

Scarred by the financial crisis, families around the world play safe with their money

The British spent 3 per cent less in 2012 than in 2007. Photo: AP

Five years after US investment bank Lehman Brothers collapsed, triggering a global financial crisis and shattering confidence worldwide, families in major countries around the world are still hunkered down, too spooked and distrustful to take chances with their money.

8 Oct 2013 - 12:45pm

US still on the mend, five years after Lehman collapse

In the 12 months from September 2008, unemployment rocketed from 6.1 per cent to 9.8 per cent, homelessness soared. Photo: AFP

It is an anniversary without celebration: five years after the implosion of banking giant Lehman Brothers sparked the worst crisis in generations, the US can say it avoided catastrophe.

After just barely pulling back from the precipice, industry is picking up, home prices are gaining, banks are stable and American consumers have started spending -- albeit still with great caution.

12 Sep 2013 - 3:06pm

US bailout 5 years ago avoided catastrophe: Treasury

Employees carry their belongings from Lehman Brothers head office in New York. The investment bank’s September 2008 bankruptcy filing, known as the ‘Lehman Moment’ triggered a widespread loss of confidence in global financial markets. Photo: Xinhua

The US Treasury said on Wednesday the government’s massive response to the economic crisis five years ago paid off, avoiding a catastrophic breakdown of the financial system.

12 Sep 2013 - 3:06pm

The real problem behind China's shadow banking

Illustration: Craig Stephens

In China today, the term "shadow banking" has a negative meaning. Over the past year, the China Banking Regulatory Commission has issued numerous policy directives to try to contain its explosive growth. Xiao Gang , the head of the Chinese securities watchdog, called shadow banking "a Ponzi scheme" in an opinion piece he penned last year while still serving as chairman of the Bank of China.

31 May 2013 - 5:35am 1 comment

Bankers' high pay is governments' fault

European Union. Photo: Bloomberg

Ten times as many London-based bankers as previously expected could be caught by Europe's cap on bonuses in a fresh sign that regulators are attempting to clamp down on City of London pay.

21 May 2013 - 5:46am 1 comment

Don't demonise bankers, says outgoing Bank of England governor

Outgoing Bank of England governor Mervyn King delivers one of his last quarterly inflation reports last week. Photo: Bloomberg

The outgoing Bank of England governor has called on the British people not to "demonise" bankers, prompting debate on how much responsibility he should take for the financial crisis.

21 May 2013 - 5:40am