ANALYSIS: What next for a troubled banking world after two collapses in the US?
A few years earlier, in the early 90s, Westpac almost came asunder after a meltdown in the value of its commercial property portfolio.
The global financial crisis was created by lax oversight of a deregulated banking system and made worse by the US Federal Reserve's decision to allow Lehman Brothers to collapse. Signature Bank was heavily involved in crypto loans while SVB focused on technology entrepreneurs, enterprises and investors. As the deposit withdrawals accelerated, neither bank had adequate reserves to meet them.
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