Data and Financial Journalist
Libor manipulation can bankrupt sixteen big banks and shake investors’ confidence. Libor rigging involves billions of dollars as profits. The big banks include Bank of America, JP Morgan Chase and Citigroup. While the first rigging case was brought to light in 2012 (Also Read: The LIBOR Fallout – A Big Bank scandal )the scandal dates back…
Big banks have been subject to a lot of scrutiny after the global financial meltdown in 2008. During the crisis, banks remained huge and posed systemic risks that were large enough to take down the entire financial system and eventually the economy. The question that is very important is whether pleading guilty to manipulation solves the problem that big banks face. The bitter truth remains that the big bank theory leads to bigger scams and if found guilty, leads to bigger fines but nothing really changes. The increased evidence of unethical behavior in the banking system is just a small chapter in the history of many banking scandals.
According to PwC’s report, UK will see a slip in its GDP’s ranking to 11th position in the world’s rankings. US, Japan, Germany, France and Italy has also been pushed down the league table but only UK and Italy lost out on the top ten slot. The same reports also predicted that China will soon overtake United States as the world’s largest economy in 2017. UK at present faces many issues that are being addressed but are they quick enough to make instant changes in the nation’s economy?