Today’s Daily Dig looks at some long lasting institutions and what the future may hold, along with how housing and banking is affected in other parts of the world.
Foreign banks take much of their profits outside Korea as “consulting fees”
A controversy is brewing in South Korea over the percentage of profits foreign banks, including Citibank, are removing from the country. The removed funds are being termed “consulting fees” and can top 50% of total profits. The Korean Herald explains.
Plodding ECB approach threatens recovery, delays much-needed drastic steps
Seemingly ready to take long-awaited steps to jump start the region’s economy, the ECB got motors running when Chief Mario Draghi hinted action would follow their June 5 meeting. Don’t plan the party just yet, says The Daily Times.
Housing market boom threatens recovery – in U.K.
Governor Mark Carney suggests the Bank of England may limit mortgage lending in an effort to rein in the wild housing market on the island. Adam Uren provides the details.
Community banks role increasingly threatened – Hoenig
For two centuries community banks played a pivotal role in the fostering of entrepreneurship and in growing their communities. Their role is changing but does not have to, Thomas Hoenig says in an article by Laurie Winslow.
Fannie/Freddie future failing – Isaac
The momentum for reforming Fannie Mae and Freddie Mac has cooled substantially in recent months. Consensus has crumbled and the chances of dissolution in an election year are slim, but that is exactly what is needed, argues former FDIC Chair William Isaac in an article by Sean Piccoli.
Crowdfunding not good for you