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financial crisis-govt bailout

Yonhap News AgencyMay 21, 2013 03:00

SEOUL, May 21 (Yonhap) -- The government said Tuesday it will bail out some delinquent borrowers from the 1997-98 Asian financial crisis, as part of a policy bid to ease financial burdens of the underprivileged. Under the scheme, some 110,000 out of 2.36 million delinquent borrowers whose credit rating plummeted due to joint liabilities during the two-year financial turmoil will have their records erased by local financial institutions, according to the Financial Services Commission (FSC) and other state-run financial agencies.

Citi names new heads of mortgages, private bank, Citi Holdings

Thomson ReutersMay 20, 2013 16:46

NEW YORK (Reuters) - Citigroup Inc Chief Executive Michael Corbat named Jane Fraser as the new head of the bank's mortgage business on Monday ,as current CitiMortgage CEO Sanjiv Das plans to leave the bank to pursue other opportunities, according to an internal memo. Das took over Citigroup's mortgage business at the height of the financial crisis in 2008 as it was losing billions of dollars on bad subprime housing bets. He will remain at the bank for a few months to assist on mortgage issues related to the government, according to the memo.

IMF says Cyprus economic outlook uncertain, faces risk of even deeper recession

The Canadian PressMay 17, 2013 12:00

WASHINGTON - The International Monetary Fund said Friday that substantial risks still loom for the Cypriot economy even after a multi-billion dollar international bailout aimed at averting a debt default. A new IMF report predicted a deep recession in Cyprus this year and next and said there is a danger that the downturn could be even more severe if authorities do not adhere strictly to conditions imposed as part of the $13 billion bailout deal.

US regulators adopt weakened rule on derivatives trading; critics say large banks to benefit

The Canadian PressMay 16, 2013 16:47

WASHINGTON - A rule intended to loosen the largest U.S. banks' control over the trading of complex investments and help safeguard the financial system was weakened Thursday by regulators. Critics say the changes will allow major Wall Street banks to continue to dominate the $700 trillion derivatives market. The Commodity Futures Trading Commission approved the rule on a 4-1 vote. Commissioner Jill Sommers cast the lone dissenting vote.

German and French leaders remain at odds over how to get European economy growing again

The Canadian PressMay 16, 2013 11:45

BERLIN - Germany and France recognize that their co-operation is key to overcoming Europe's persistent economic crisis, but comments Thursday by the leaders of the continent's No. 1 and 2 economies suggested they still have diverging priorities. French President Francois Hollande argued that the 17-nation eurozone should integrate more, calling for greater pooling in the long run of political and financial resources. He favours easing back on debt reduction measures to help the economy grow.

European stocks mostly fall

Agence France-PresseMay 16, 2013 07:45

Europe's main stock markets mainly fell on Thursday, one day after official data showed the eurozone was still plagued by recession, but London stocks rose amid optimism in the insurance sector, dealers said. In morning deals in Paris, the benchmark CAC 40 index of leading companies fell 0.23 percent to 3,973.17 points, after data also showed on Wednesday that the French economy returned to recession in the first quarter. Frankfurt's DAX 30 index dipped 0.08 percent to 8,356.15 points, while London's FTSE 100 added 0.16 percent to 6,704.68 points.

Hungary returns to growth but Czech downturn deepens

Thomson ReutersMay 16, 2013 02:03

By Michael Winfrey PRAGUE (Reuters) - Hungary's economy unexpectedly broke out of recession in the first quarter and Romania expanded faster than forecast, but their regional peer the Czech Republic plunged deeper into its longest downturn in two decades. The European Union's developing members are struggling with varying success to return to the pace of growth they need to catch up with the richer West, having been dragged back into double-dip contractions by the euro zone debt crisis.

Germany can't stop euro zone from sinking into longest recession

Thomson ReutersMay 16, 2013 02:02

By Robin Emmott and Sarah Marsh BRUSSELS/BERLIN (Reuters) - Germany's economy crept back into growth at the start of the year but not by enough to stop the euro zone from contracting for a sixth straight quarter, and France slid into recession. Falling output across the bloc meant the 17-nation economy is in its longest recession since records began in 1995.

Hollande's headache worsens as France slips into recession

Agence France-PresseMay 16, 2013 02:00

President Francois Hollande's nagging headache to reboot the French economy has turned into a migraine as the economy slipped into its second recession in four years, fuelling speculation of an impending cabinet reshuffle. Having just marked his first year as French president, Hollande's ambition to reverse the trend of soaring unemployment is now deemed an impossible task by many economists who say the government's efforts to create more jobs will at best limit the damage.

A look at how the Eurozone's struggling economies are dealing with recession

The Canadian PressMay 15, 2013 20:34

The eurozone is stuck in recession — its longest since the euro was founded in 1999. The latest figures from the European Union's statistics office show that the economy of the 17 EU countries that use the euro shrank for a sixth straight quarter, slumping by 0.2 per cent in the January-March period from the previous three months.