By: tyneham

tyneham — Tue, 13 Jan 2009 20:52:38 +0000

Whatever the political ideology or not, the government must provide tangible incentives to help create jobs, and increase export trade. Many people in the business world are concerned about doom and gloom, ground realities, insolvency and bankruptcy in volatile markets. Even lawyers, accountants, market analysts and auditors are already fired or facing long-term unemployment. Many companies are losing market share to small rivals, but are no short-cuts for sustainable success and prosperity. Businesses need bespoke survival strategies to reduce losses, improve efficiency, increase revenue, gain sustainable competitive advantage and outperform market competition. The strategies would help create new business opportunities and job. FixyaExperts.com investors target niche markets where consumer demand still continues to grow by over ten percent annually to 2030: http://www.FixyaExperts.com

By: Will

Will — Tue, 05 Aug 2008 12:36:39 +0000

You are simply discussing the benefits of the Building Society system. Where every depositor, borrow and employee are classed as ‘members’ and vote on virtually every ruling the organisation makes. The majority of the big boys, The Halifax and B&B for example, all started as mutuals but were voted by the members to become Plc. Surely the ex-members only have themselves to blame, not the company directors who have worked within the realms of their customers wants and desires…lots of shares and more profit!

By: david hill

david hill — Tue, 05 Aug 2008 11:22:21 +0000

Britain is in for the worst economic hammering it has witnessed since the end of WW2.
In this respect there are now major pointers emerging, which should send shivers down the spines of the British electorate.
Indeed recently, the Bank for International Supplement, the organisation that fosters cooperation between central banks, has warned that the credit crisis could push world economies into a crash on a scale not seen since the Great Depression.
As an example of what the central banks are saying also, the reserve bank of India stated just 6-days ago that to address the world’s financial crisis, central bank interventions have been staggering and on a level not witnessed since the Great Depression. But will the central bank’s support be enough is the critical and worrying question. Indeed recently again in this respect, the International Monetary Fund (IMF) stated also that the world is witnessing the greatest shock to global finances since the 1930s. Further, central banks led by the US Federal Reserve, have already piled help and credit on the financial system over the past 12-months, as they did again only last week, to nurse it through this pending economic disaster. Therefore this need will certainly arise continuously to weather the storm, if we can, as the pointers are looking very bleak indeed. Now unfortunately adding to this, the problems are spreading with evidence that started as a financial-sector crisis is just starting into a business crisis. Indeed with no finance, business will find it hard to survive and with the size of HBOS’s recent failure to raise funds together with the price of underwriting an issue, it will be impossible for others to do likewise from now on. Therefore our banks will have major liquidity problems and failures for many years to come. Indeed, they will probably not stabilise again for at least a decade. The global writedowns and credit losses of the banks since January 2007 is around US$500 Billion and there is no sign of a let up. Indeed, the IMF stated that the credit crunch losses will hit US$ 1 Trillion at least. Following on from these astronomical losses, Capitol Economics stated recently that we should be preparing for recession as it’s more likely than not. In this respect consumers are going to get hit where it hurts by a mixture of the housing market downturn and inflation they stated. People will see growth falling from 2 per cent in 2008 to flat (zero) next year and added to this, companies will see their profits fall dramatically. Consequently one can predict that firms, due to the lack of financial stability and ‘inadequate liquidity’ of our banks, will not be able to borrow. As the financial crisis becomes a firm business crisis Capitol Economics predict unemployment will increase from 1.6 million people to 2.5 million and while falling house prices do not hit pockets, lost jobs do they say. Therefore the effects of this present financial crunch will last for years for businesses and where others will not even survive to see the recovery at all. Since the crisis began, the American people have bailed their banks out to the tune of US$945 billion. Indeed adding to this over the last 18-months the share values of US and European banks including western insurance and investment management institutions, have lost US$2.7 Trillion in value.
UBS for instance is now worth just around 20% of what it was just a mere year and a half ago. Therefore the ramifications and long term outlook is very grim indeed.
All this shows that financial regulators throughout the world are not robust enough and have not enough power to curb the excesses of the financial world. Governments therefore, when this is all over, should make sure this time, that the full market philosophy is kept firmly in check. If not, what we are experiencing now will happen time and time again. The ‘free’ market has got to change therefore and where the public (consumers) always learns the hard way, for they are the ones the banks really hurt and of course the ones who have to ultimately pay.
Dr David Hill
World Innovation Foundation Charity (WIFC)
Bern, Switzerland

Comments on: Credit crisis: Let’s call the banks to account

By: tyneham

By: Will

By: david hill