The director of the Association of Banks of Bosnia and Herzegovina, Berislav Kutle, told that it is not realistic to repeat a banking crisis similar to the one in 2008, for several reasons.
”The first reason is that this crisis arose in a totally different way, and the second is that the states immediately stood behind the banks. With this move by the states, the situation in the United States (U.S.) has already stabilized, and the same is expected in Switzerland,” noted Kutle.
He added that it is clear that the consequences of this crisis will be felt by the citizens of those countries, as well as that banking regulations will have to be changed so that this does not happen again.
”We cannot compare the work of those banks with our banking system. The largest percentage of jobs performed by these banks is unknown to our banking and market,” said Kutle.
He pointed out that it is difficult to give an exact answer to the question of the stability of the banking system in Europe and the world without more detailed data on the banks’ balance sheets and the state’s readiness for intervention, but that it is obvious that a large part of the banks act according to the system “we are too big so we cannot fail” because their fall would collapse the economies of those countries.
”It is clear that in those countries, which we admired, there is an ‘overblown’ banking system that can burst or will be subject to state intervention. We should expect more such banks in the coming period, but also the intervention of the state,” claims Kutle.
According to him, it is unrealistic to expect any direct negative impact of those events on our banking.
”Banking in our country operates on totally different principles – conservative, with an extremely liquid, capitalized and profitable system that instills confidence in citizens and legal entities. There are no negative phenomena due to this crisis on our banking market and it is not realistic to expect otherwise,” said Kutle, Vijesti.ba reports.
E.Dz.
