Posts Tagged ‘rescue’
To tackle the current banking crisis, European leaders have agreed and plan as they announced that no big bank would be allowed to declare itself bankrupt.
In their meeting in Paris, the European leaders announced that they would guarantee loans between banks by the end of 2009 and keep money in them for buying preference shares.
French President Nicolas Sarkozy said in his address that the European countries are taking unprecedented steps to tackle the current crisis.
Rescue plan related news came from Mr. Sarkozy after 15 countries’ leaders talks of the euro currency zone. France holds the rotating presidency of the European Union at present. Read the rest of this entry
To save one of Germany’s biggest banks, the finance ministry of the country has agreed a 50bn euro rescue deal.
This deal to save Hypo Real Estate Bank is worth 15m euros and it’s more than the first rescue attempt that broke on Saturday.
Earlier this week, an unlimited guarantee for all private savings was announced by Germany and later Denmark also follwed the suit.
The moves proved somewhat helpful to Asian markets, where Tokyo’s Nikkei index fell 3.6 %. Similarly, South Korean currency fell around 5%.
The other finical institutions are already struggling against a crisis of confidence in the global financial system and the problems of the German Bank will put further strain on them. Read the rest of this entry
President George W Bush says that the rescue plan will be passed by the legislators soon, as they will surely rise to the occasion in the current financial crisis. However, he admits that there is disagreement because the proposal is quite big.
According to Senate Majority Leader Harry Reid, who is a Democrat, “lawmakers will stay in session until a deal is reached.”
However, rebel Republicans are still unhappy on buying mortgage-backed assets from US banks.
Some positive signs were seen later on Friday Nancy Pelosi said that some progress was made on the bill. Read the rest of this entry
