Banks Should Be Banks!
5 Pages Posted: 30 May 2012
Date Written: May 30, 2012
The author identifies that the main problem causing the economic crisis the world is facing is the changing role of banks and the slack legal and regulatory conditions that allowed them to grow into huge financial conglomerates thereby losing track of their main economic banking function. Banks are not and should not be treated as any other enterprise as they enjoy special privileges but who also have crucial and specific duties in serving their role in a free market economy of channelling savings into their most economically productive uses.
Keywords: Repayment capability, project evaluation, corporate lending, credit risk
JEL Classification: D61, G17, G21, G32, G33, H43
Suggested Citation: Suggested Citation