Banks can fight financial crime. But we can’t do it alone

This article is brought to you thanks to the strategic cooperation of The European Sting with the World Economic Forum. Author: Erik Barnett Head of Financial Crime Threat Mitigation, Europe, HSBC A young woman walks into a bank branch in London. She is soon noticed by a teller, who sees that she is closely followed by a man, who […]

How banks should prepare for robots going rogue

This article is brought to you thanks to the strategic cooperation of The European Sting with the World Economic Forum. Author: Elizabeth St-Onge, Partner, Financial Services, Oliver Wyman & Ege Gürdeniz, Principal, Digital, Technology, and Analytics, Oliver Wyman Banks are rolling out machine-learning applications to handle all manner of tasks once reserved for humans, from customer service to automated […]

US-China trade war at point of no return: Washington’s demands go beyond tariffs

It seems the US-China trade conflict, if not full scale trade war, is entering the phase of no return. Nothing will be as before in the economic and otherwise relations between the two largest economies of the world. Washington appears ready to push its cause to the end, while Beijing still pretends not to understand […]

IMF: How To Deal With Failed Banks

This article is brought to you in association with the International Monetary Fund Written by Deniz Igan, July 3, 2018 During the global financial crisis, policymakers faced a steep trade-off in handling bank failures. Using public funds to rescue failing banks (bail-outs) could weaken market discipline and lead to excessive risk taking—the moral hazard effect. […]

Why Italy will not follow the Greek road; Eurozone to change or unravel

the next Italian election is, very probably, to take place within the next few months or even weeks. Then, Berlin, the rest of Eurozone capitals and probably the entire western financial world will learn, if it’s still politically possible to ask just one country’s taxpayers to save an obviously faltering global financial system. The test […]

Banks must take bold action to fight climate change. This is how they can do it

This article is brought to you based on the strategic cooperation of The European Sting with the World Economic Forum. Author: Sonia Hierzig, Project Manager – Banking, ShareAction Banks are exposed to a number of climate-related risks through the diverse range of sectors they finance. Across the world, they continue to fund high-carbon industries, thus enabling a range of […]

Mainland Europe adopts Germanic cartel business patterns

As in VW’s diesel engines emissions scandal, in the case of Estonia’s half banking system working as mafia’s financiers, it was the Americans to unveil the wrongdoings. Is it by chance or the Europeans are looking the other way, when it comes to their own dirty laundry? Those calculated frame ups are not only meant […]

Draghi strives to control the unruly exploitation of financial markets by banking leviathans

During the past few weeks, financial markets sharks have been sending stock and bond prices and money parities wildly up and down, while busy securing for themselves hefty short term gains. Obviously, this is to the detriment of the real economy, where values are produced by technology and sweat. In Europe and, partly, in the […]

‘Safe Eurobonds’: a new trick to betray the south euro area countries

All along the years after the 2008-2010 financial crisis, which in the European Union took the form banking/government debt breakdowns starting with Greece, there were cries for the creation of a solid Eurozone. In every respect, these calls amounted to demands that super prosperous Germany accepts some degree of risk-sharing with the rest of the […]

Draghi keeps the euro cheap, helps debt refinancing, recapitalization of banks and growth

Last Thursday, the European Central Bank decided to keep flooding the Eurozone with hundreds of billions, despite strong objections coming from the frugal German-Dutch duo. Mario Draghi was adamant about that. It’s interesting to follow his response to a journalist’s remark, who reminded him that the “Dutch Central Bank President Klaas Knot said in a […]

Hazy ‘breakthrough’ saves PM May, leaves Ireland in limbo: Brexit

With only a couple of hours sleep in the very early hours of last Friday, the British PM Theresa May boarded a RAF aircraft and landed in Brussels before dawn. Weary as she was, she rushed to Berlaymont building, the EU Commission headquarters. There she met Jean-Claude Juncker the President of the European Commission and […]

Britain offers more money for an orderly Brexit but the Irish question resurges

If last Friday’s Reuters report from Brussels is correct and Theresa May and Donald Tusk agreed to solve the Brexit dead-end in ten days, then the wild Brexiteers must have retreated  and the orderly exit side has won the first round. Tusk, the President of the European Council said in a tweet that he told […]

Do the giant banks ‘tell’ Britain to choose a good soft Brexit and ‘remain’ or else…?

It may be true that the world is tired watching Britain being completely confused about choosing the way to exit from the European Union. Yet, the almost schizo division plaguing the Brits and their political elites alike still paralyzes to this date the divorce negotiations. Countries to be most affected by Brexit like Holland are […]

Banks, insurance giants are free again to abuse the real economy

Not many years after the financial meltdown of 2008-2010, the main culpable parties for that global catastrophe, the big banks and the gigantic insurance companies are now commandingly asking the world to forget that. They demand to be again left completely unchecked, free to repeat what they did then; inflate all and every market to […]

Fed, ECB take positions to face the next global financial crisis; the Brits uncovered

The appointment of Jerome Powell as the next head of the US central bank, the famous Fed, is a reassurance to the financial world that the giant lenders will continue being favored by ample and very cheap money. Last Thursday, Donald Trump, the American President didn’t dare to change the cautious approach to monetary policy. […]

Czech Babis, Austrian Kurz and others threaten Europe with nationalist populism

Andrej Babis, a media magnate and second wealthier Czech leading his anti-immigration, nationalist and populist ANO party, won last Sunday’s election, with around 30% of the vote. He is to become the next Prime Minister of the Czech Republic. Babis did that on an anti-systemic Trump-like ticket. He was recently implicated in a tax fraud […]

Chauvinism and xenophobia will lead to global assertiveness and more wars

The immigration crisis of 2015 in Europe exposed the hollowness of the political system of the new millennium in the Old Continent, anguishing to cover the huge social cavities the economic neo-liberalism has created. Unfortunately, economic neo-liberalism didn’t lead to political liberalism, but instead to chauvinism, xenophobia and the insurgence of the extreme right wing […]

Yellen and Draghi tell Trump and markets not to expedite the next crisis

The disappointment of financial markets with the lack of hints about monetary policy from the Jackson Hole gathering of central bankers is understandable. Both Janet Yellen, US Federal Reserve System Chair and Mario Draghi, the European Central Bank President while keeping their policy guidelines unchanged, choose to forcibly attack the demands of bankers – supported […]

The ECB accuses the politicians of inaction, continues injecting billions to banks

Last Saturday 8 July the Belgian newspaper De Standaard published an interview with Peter Praet, Member of the Executive Board and chief economist of the European Central Bank. Praet said it plainly “We do say that we still need a long period of accommodative policy before we are ready”. What he means by ‘being ready’ […]

The ECB again takes care of the bankers not the people

Last week the European Central Bank surprised everybody by letting it be known that interest rates will “remain at present or lower levels for an extended period of time, and well past the horizon of our net asset purchases”. To be noted, presently, the main refinancing operations interest rate is zero. Of course, the markets […]

If Macron defies Britain about the banks, Paris and London to clash over ‘La Manche’

None of the two winners of yesterday’s first round in the French Presidential election, the pro EU banker Emmanuel Macron (23.9%) and the anti-EU and xenophobic Marine Le Pen (21.4%) is to make things easier for their country. However, the same is true for the British PM Theresa May. The latter’s decision to call an […]

The London City-EU connection holds despite of Brexit and the ban of LSE-Deutsche Börse merger

European Commission’s decision to ban the Deutsche Börse – London Stock Exchange merger, on the one hand solved a long list of problems it could have triggered, in view of and after the Brexit. On the other hand though, this decision has created probably as many issues, because London is the long established low cost […]

Brexit kick-off: a historic day for the EU anticlockwise

The beginning of the two-year negotiations is about to begin as UK submits today the letter to the EU today informing the latter about the decision of the British people to leave the bloc. However, it is still too early to say whether a deal will be reached within the timeframe that is set in […]

Deutsche Bank chased away from US, threatened with more fines

The US Department of Justice settled its claims against Deutsche Bank, the biggest German lender, for packaging and selling toxic mortgage securities to uninformed customers prior to the 2008-2010 financial crisis. Initially, the Justice Department had asked for $14 billion, but it seems it settled for a fine of $7.2bn. However, this is not the […]

After the Italian ‘no’ and the Brexit, Germans must decide which Europe they want

There is no doubt that Europe is in disarray. The long standing malaise of high unemployment and economic stagnation has already mutated into critical political problems. The mutations of the European political ecosystem take various, unseen before forms. In the northern EU countries they invariably appear as extreme right or even semi-fascist political parties, inflated […]

What will the US look like under Trump? Was his election campaign a big scam?

Everybody agrees now that the President – elect Donald Trump won the 8 November election, by promising he will take good care of the Americans who are left behind in the era of globalization and of the global financial rackets. The first signs though indicate the opposite. His choices for the top Washington jobs are […]

What the US and the world can expect from the 8 November election?

From Beijing and Tehran to Brussels and London, and further away to Mexico City and Caracas the night of 8 November will create a landmark in contemporary world history. The results of the US election and the new occupant of the White House in Washington D.C will certainly affect the way the world turns around. […]

IMF – World Bank meetings: US – Germany clash instituted, anti-globalization prospects visualized

This year’s annual meetings of the IMF – World Bank Group in Washington D.C., which kicked off on Thursday 6 October, turned out to be an all out financial war of words between the United States and Germany. In the middle of it stands the battered Deutsche Bank. For a start, there was a confrontation […]

The Americans are preparing for the next financial crisis

Last week, Janet Yellen, Chair of the Board of Governors of the Federal Reserve System, in more than one ways revealed that the American central bank prepares to confront the next financial downturn. On Wednesday, 28 September, speaking at the House Financial Services Committee in Washington D.C. , she defended the Fed’s rigorous supervision over […]

Deutsche Bank again in the middle of the US-EU economic skirmishes

The US government is reacting in many ways against the fine in back taxes of €13 billion which the European Commission imposed on Apple. Firstly, Jack Lew, the American Secretary of the Treasury, accused the EU of grabbing tax incomes which belong to the US. On 31st August he said, “What’s not appropriate is for, […]