Recently we came across another news of failure of one more International Bank First Republic & its rescue by JP Morgan . The key to getting the deal done was excluding billions of dollars of liabilities that are left behind with the Federal Insurance Deposit Corporation (FDIC).The FDIC expects First Republic clean up to cost $13 billion. JP Morgan has helped American banking stability by stepping in to take on the First Republic’s Depositors and it had the size & scale to do that.Central banks around the world have formulated medium-term strategy frameworks. (The author is Director, Arihant Capital Markets Ltd.)(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)

Source: Economic Times May 09, 2023 01:43 UTC