Because the four major banks form the pillars of China's financial system, authorities must strengthen its supervision of them, including improvements on the legal front, so as to maintain stability in the economy as a whole.
In order to restore financial stability, an obvious precondition for prosperity, the large banks must be broken up and the distinction between investment and commercial banks restored.
Five of the biggest banks in the United States are putting finishing touches on plans for going out of business as part of government-mandated contingency planning that could push them to untangle their complex operations.
The IMF estimated that large US and European banks lost more than $1tn on toxic assets and from bad loans from January 2007 to September 2009 and more than 200 mortgage lenders went bankrupt.
Jim Rogers, one of the world's most prominent international investors, on Thursday called most of the largest U.S. banks"totally bankrupt," and said government efforts to fix the sector are wrongheaded.
NEW YORK(Reuters)- Jim Rogers, one of the world's most prominent international investors, on Thursday called most of the largest U.S. banks“totally bankrupt,” and said government efforts to fix the sector are wrongheaded.
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