ECONOMICS

Economics - Bank for International Settlement

Economics - Bank for International Settlement

Inception

Bank for International Settlements (BIS) can safely be called the oldest financial institution. Following the forced liquidation of Hersatt on 26th June 1974 when several international banks had released payments of their respective DEM to Hersatt, which ceased its operations due to differences in time zones, payments by the banks in USDs could not be received.

Evolution

It is in fact difficult to clearly defined systemic risk because it is ambiguous and it means different things to different people. For example, Bank for International Settlement (BIS) defined systemic risk as "the risk ...