Overcoming The Financial Crises
During the 1997 East Asian financial crisis, the KDIC's adoption of blanket coverage restored the public's confidence in the financial system. The integration of deposit insurers which had previously been scattered in different sectors into one organization (Apr. 1998) enabled further enhancement of public confidence. By preventing bank-runs and boosting financial competitiveness, the KDIC helped to improve foreign investors' confidence in the Korean economy and achieve an early turnaround. The KDIC's decisive response was crucial to overcoming the crisis. Also in the course of the financial restructuring which was undertaken in the wake of the crisis, the KDIC successfully resolved over 500 financial institutions and gained unique expertise in resolution. With reinforced public confidence in deposit insurance, the KDIC went into the recent global financial crisis more prepared. There was no sign of bank-runs. Only five mutual savings banks went bankrupt during 2008-2009. The KDIC decided to expand its coverage to include foreign-currency deposits and other products for additional protection. Also, the KDIC established a Contingency Plan in order to better cope with future crises.
Read more about this topic: Korea Deposit Insurance Corporation
Famous quotes containing the words overcoming the, overcoming, financial and/or crises:
“Whenever reality reinforces a child’s fantasied dangers, the child will have more difficulty in overcoming them...So, while parents may not regard a spanking as a physical attack or an assault on a child’s body, the child may regard it as such, and experience it as a confirmation of his fears that grown-ups under certain circumstances can really hurt you.”
—Selma H. Fraiberg (20th century)
“Whenever reality reinforces a child’s fantasied dangers, the child will have more difficulty in overcoming them...So, while parents may not regard a spanking as a physical attack or an assault on a child’s body, the child may regard it as such, and experience it as a confirmation of his fears that grown-ups under certain circumstances can really hurt you.”
—Selma H. Fraiberg (20th century)
“Because of these convictions, I made a personal decision in the 1964 Presidential campaign to make education a fundamental issue and to put it high on the nation’s agenda. I proposed to act on my belief that regardless of a family’s financial condition, education should be available to every child in the United States—as much education as he could absorb.”
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“Part of the responsibility of being a parent is to arrange situations in children’s lives so they are able to meet crises with a reasonable chance of coping successfully with them.... Parents who believe children are unharmed by crises and will simply bounce back in time seriously misunderstand children.”
—Donald C. Medeiros (20th century)