Problem of Eurozone
Lack of control in Eurozone countries
Budget deficit should under the
3% of GDP
Public debtofgovernment should below
60% of GDP
Italy, Greece, Spain
Common Problem
▶Budget deficit
▶Current account deficit
▶Underground economy
corruption, tax evasion, Mafia
the part of the total debt in a country that is owed to creditors outside the country
money owed to private commercial banks, other governments, or international financial institutions such as the IMF and World Bank
Foreign debt management
1) Risk management
currency and interest rate movements
frequent commodity price fluctuations
The debt crises of the early 1980’s
oil price hikes
of the fastest developing countries in the world, experiencing rapid growth since 1963. Real GNP grew at an average annual rate of 9.0 percent between 1963-93. As a result, Korea's status changed from an underdeveloped country in the 1960s to an upper mid-level developing country in the 1990s. It is well known that foreign debt and the government's active economic policy played an important role
(1) Bubble increase of the housing industry.
Following is the background of Bubble increase of the housing market.
Easy Money Policy of FRB(Federal Reserve Board)
In the housing industry of USA formed mortgage-system, the interest-rate is the factor that decide market price and adjust the demand and supply of the housing market, and also is main channel of currency policy.
After 『dot-com
debt through granting of credit
3. A Group of BS Savings Bank’s
close relationship problem
– Lobbying activity to The Financial Supervisory Service and National Tax Service.
To cover up a tax investigation of SPC,
To lower judge level following the result of the audit and prevent suspension of business
1. Maintenance ofGovernment's exclusive financial monitori