The 2007-08 global financial crisis
Topic: The 2007-08 global financial crisis has revealed a disastrous effect of excessive risk taking by banks and highlighted the importance of the banking sector in the economy worldwide. As a response, the Basel Committee proposed the new Basel III Capital Accord on 1 June 2011 to regulate bank risk taking and promote financial stability.
( Not more than 3,000 words)
Required:
1. Outlines theories of financial intermediation that explain why financial intermediaries/banks exist.
2. Describes and illustrates with examples risks faced by banks.
3. Explains the rationale for banking regulation. (HIGHLY IMPORTANT).. linking the current set of rules of Basel III and a brief discussion on how these rules can foster financial stability.
It is suggested that the report should be balanced in attempting each sub-question.
Reports must not exceed 3000 words, excluding any appendices an
( Not more than 3,000 words)
Required:
1. Outlines theories of financial intermediation that explain why financial intermediaries/banks exist.
2. Describes and illustrates with examples risks faced by banks.
3. Explains the rationale for banking regulation. (HIGHLY IMPORTANT).. linking the current set of rules of Basel III and a brief discussion on how these rules can foster financial stability.
It is suggested that the report should be balanced in attempting each sub-question.
Reports must not exceed 3000 words, excluding any appendices an