Emerging markets are “lining themselves up for more problems,” says former IMF chief economist Simon Johnson. In part two of an interview he looks at problems brewing in emerging markets, which have “gone crazy borrowing in foreign [currencies].” He also weighs the different approaches bank regulators take in the U.S. versus Europe. “In Europe, they’re still shell shocked from the sovereign debt crisis [and] very scared of doing anything that would destabilize … their recovery. As a result, the bankers are able to dictate the terms to the regulators.” Johnson also expresses skepticism at the idea that national banking regulators will look after each other’s interests during a crisis.
Source: knowledge.wharton.upenn.edu
Kenneth Carnesi holds a Juris Doctor degree from New York Law School and a Professional Certificate in International Banking from Harvard Law School. Kenneth Carnesi is the Director of Operations and Government Sales at Anaptyx LLC and sits on the Boards of The Lazarus Organization, Monkeetech LLC and MG Madison Phillips, Inc. Mr. Carnesi has also founded CICG - Carnesi International Consulting Group, a company specializing in strategy consulting to small to mid-size businesses.
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