Tough choices

Article Abstract:

It is clear that many of Indonesia's banks should be shut down. However, there are still considerable uncertainties about how this could be achieved without damaging the reputations of the few banks that are still performing well. The most obvious solution would be to liquidate banks in difficulties and dispose of their assets, but this would prove difficult. It has already been seen that closing down struggling banks can lead to a run on other banks. Further bank closures will have to include moving depositors' funds to government-owned banks.

Indonesia, Bank failures

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An empire at risk

Article Abstract:

The British managed HSBC is a dominant bank in Hong Kong and other parts of Asia, but its position may be threatened by China's impending takeover. HSBC does two-fifths of its business in Hong Kong, and could rapidly lose it from a currency devaluation or hostility from the state-owned Bank of China.

Economic aspects, Forecasts and trends, Hongkong and Shanghai Banking Corporation Ltd., Hong Kong-China reunification question

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Subjects list: Banking industry, Commercial banks
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