, Columnist
Can the World Deal With a New Bank Crisis?
The traditional tools needed to recover aren't likely to be available this time.
A crisis could begin with the world's oldest bank.
Photographer: Andrea Lensini/Corbis/Getty ImagesThis article is for subscribers only.
As Europe braces for the release of its bank stress tests on Friday, the world could be on the verge of another banking crisis. The signs are obvious to all. The World Bank estimates the ratio of non-performing loans to total gross loans in 2015 reached 4.3 percent. Before the 2009 global financial crisis, they stood at 4.2 percent.