It is, therefore, a good bet that the triad of fiscal austerity, short - term growth - stifling structural reforms and seemingly intractable problems of
a weak banking system will soon lead to the downward revision of the ECB's long - standing growth forecast for the euro area.
1) Lower economic strength in light of the diminished medium - term growth outlook, constrained by foreign currency shortages, high inflation, lower public sector spending and
a weak banking system.
In addition, economic activity will be constrained by lower levels of government spending than before and
a weak banking system.
Wars, government incompetence, political interference,
weak banking system, and a weakening economy brought everything down in 2008.
Not exact matches
The
banking system has been
weak for years as most institutions have failed to deal with the high level of bad debt in the wake of the financial crisis.
The
banking system was hyper - competitive and quick to take risks in pursuit of profits; policymakers aggressively pushed homeownership through measures such as tax breaks for mortgage interest payments; and
weak recourse laws let mortgage defaulters off the hook.
In addition to that, the euro area has (a) worsening problems of political instability (Italy without government, unfolding corruption scandals in recession - hit Spain and France), (b) dysfunctional
banking systems (
weak banks and their impaired lending activities despite ample liquidity supplied by the ECB) and (c) lingering uncertainties about the financial
system's credibility (problems with depositor and investor protection).
The new rules combined with the Italian
banking system's structural flows and
weak markets globally could test the government's credibility rapidly, especially if a number of
banks fail and Italians start pulling their money out in a move of panic.
I have written repeatedly over the past year (and longer than that) that the US
banking system is very
weak — more specifically, that it is
weaker than the Fed, Treasury and financial press would have us know.
The
banking system has been strengthened, fiscal policy is broadly neutral, and the euro remains
weak, helping exports.
The priority of the Office of the Superintendent of Financial Institutions is making sure none of the big
banks fail, not keeping an eye for other
weak spots in the broader financial
system.
And when the
weaker governments threaten to go belly up, the
banking system freezes up.
Global: China's
banking system and economy is proving to be
weaker than advertised.
I would never have thought of that possibility, but considering that it is a smaller country with a relatively large
banking system, and those
banks have made a decent amount of loans to
weaker creditors in Eastern Europe.
Rosen said this alleged fraud illustrates how
weak and ineffective the controls are in our
banking system.
As with many similar
bank warnings, the organisation is concerned about the absence of a central authority overseeing the bitcoin industry, with «market players in virtual currency
systems [providing] only
weak security guarantees».