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Impact of the global financial crisis on the banking sector of transition economies
Conference at EBRD Headquarters, 4 December 2008
In the second half of 2008, the global financial system has undergone a period of exceptional instability. Problems first started to emerge in early 2007, with the subprime crisis in the USA. Pressures on the financial sector continued to increase throughout 2007 and the first half of 2008. What originally started as the subprime crisis and was an asset-based problem for banks with high exposure to derivative instruments with underlying exposure to American subprime mortgages, soon turned into a liquidity and funding crisis for banks worldwide. Towards the end of the summer of 2008, stresses at the two largest American mortgage corporations followed by the bankruptcy of Lehman Brothers in September 2008, led to complete chaos in markets.
The EBRD conference will bring together key market participants from EBRD countries of operations to discuss the impact of the global financial crisis on the banking sector in the transition economies.
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