The chief executive of Australian and New Zealand Banking Group spoke about the potential for a financial crisis to be triggered by ongoing instability in the global banking system.
ANZ CEO Shayne Elliott flagged the risk of a financial crisis caused by ongoing turbulence in a global banking system that has seen a series of failures such as the collapse of Silicon Valley Bank or the emergency takeover of Credit Suisse.
«It’s a crisis for some obviously, but is it a financial crisis, who knows? Does it have the potential to be one? Yes, it does have the potential to be one,» Elliott said in an interview on the website of Australia’s fourth largest lender.
Too Early to Call GFC Repeat
Despite the risks, Elliott said it was premature to assume that the current condition could result in «another [global financial crisis]» like 2008.
«This is a different issue. This is really to do with the global war on inflation and how central banks are raising rates very quickly in order to combat that, and that has casualties,» he explained.
