tailieunhanh - The German Banking System: Lessons from the Financial Crisis

Upon their arrival in the United States, the hijackers received a total of approximately $130,000 from overseas facilitators via wire or bank-to-bank transfers. Most of the transfers originated from the Persian Gulf financial center of Dubai, UAE, and were sent by plot facilitator Ali. Ali is the nephew of KSM, the plot’s leader, and his sister is married to convicted terrorist Ramzi Yousef. He lived in the UAE for several years before the September 11 attacks, working for a computer wholesaler in a free trade zone in Dubai. According to Ali, KSM gave him the assignment and provided him with. | OECDpublishing Please cite this paper as Hufner F. 2010 The German Banking System Lessons from the Financial Crisis OECD Economics Department Working Papers No. 788 OECD Publishing. http 5kmbm80pjkd6-en OECD Economics Department Working Papers No. 788 The German Banking System Lessons from the Financial Crisis Felix Hufner JEL Classification G01 G15 G21 G38 OECD Unclassified ECO WKP 2010 44 Organisation de Cooperation et de Développement Économiques Organisation for Economic Co-operation and Development ECONOMICS DEPARTMENT 01-Jul-2010 English - Or. English ECO WKP 2010 44 Unclassified THE GERMAN BANKING SYSTEM LESSONS FROM THE FINANCIAL CRISIS ECONOMICS DEPARTMENT WORKING PAPERS No. 788 by Felix Hufner All Economics Department Working Papers are available through the OECD internet website at WorkingPapers s og. 5 7 JT03286392 orq Document complet disponible sur OLIS dans son format d origine Complete document available on OLIS in its original format ECO WKP 2010 44 SUMMARY RESUME The German banking system lessons from the financial crisis The German banking system came under pressure during the financial crisis not least due to its significant exposure to toxic assets which originated in the US. In the short run the stability of the system has been achieved in large part through substantial government support measures. However ensuring adequate capitalization of the banking system remains a major challenge going forward and may require more active government involvement. The underlying causes of the banking sector problems are related to i the activities of the Landesbanken which benefitted from government guarantees without a proper business model ii weak capitalization and high fragmentation of the whole banking system possibly related to the particularly rigid three-pillar structure and iii deficiencies in banking regulation and supervision. The challenge is to address these three causes in order to raise the long-run stability .