‘Huge, Missing and Growing:’ $65 Trillion in Dollar Debt Sparks Concern

1 year ago
35

‘Huge, Missing and Growing:’ $65 Trillion in Dollar Debt Sparks Concern
There’s a hidden risk to the global financial system embedded in the $65 trillion of dollar debt being held by non-US institutions via currency derivatives, according to the Bank for International Settlements.

In a paper with the title “huge, missing and growing,” the BIS said a lack of information is making it harder for policy makers to anticipate the next financial crisis. In particular, they raised concern with the fact that the debt is going unrecorded on balance sheets because of accounting conventions on how to track derivative positions.

The findings, based on data from a survey of global currency markets earlier this year, offer a rare insight into the scale of hidden leverage. Foreign-exchange swaps were a flashpoint during the global financial crisis of 2008 and pandemic of 2020, when dollar funding stress forced central banks to step in to help struggling borrowers.

READ MORE: https://finance.yahoo.com/news/huge-missing-growing-65-trillion-120025349.html

Links for B.C.

Visit My Website
https://bcbegley.com

Subscribe To My Patreon
https://www.patreon.com/bcbegley

Watch Me On YouTube
https://www.youtube.com/channel/UCGoU...

Follow Me On Twitter
https://twitter.com/BC_News1

Watch Me On Rumble
https://rumble.com/c/c-280191

Follow Me On Gab
https://gab.com/BC_Begley

Follow Me On Parler
https://parler.com/profile/Bcbegley20...

Watch Me On BitChute
https://www.bitchute.com/channel/FYML...

Subscribe To The Apocalypse Watch App
https://newapocalypsewatch.com

Loading comments...