I have a great pleasure to present to you the third issue of our International Economic Review for Students. We intend to go on with exploring the topics which we hope are of interest for you, namely, interesting and also funny facts from the world of finance. What you will learn from it is whether there still is a menace of the collapse of a European financial giant that would be more catastrophic for the world that Lehman Brothers’ fall.
After the United States Department of Justice had demanded a USD 14 billion fine from Deutsche Bank in September 2016 for the bank's malpractices from before the financial crisis, which were related to the sale of toxic securities in the US mortgage loans market, Deutsche Bank developed record losses. Many experts virtually prejudged the fall of the German banking giant, especially as the bank's shares plunged, after the information was announced, momentarily to less than EUR 10, which had been the lowest level in 30 years.
In the last few months, a few Russian banks have launched their new products dedicated to university students. For example, in August 2016, Lomonosov Moscow State University, Sberbank, The Government of Moscow and Master Card presented a multifunctional campus card.
In 2014 Türk Ekonomi Bankası A.Ş.(TEB) has discovered that women entrepreneurship in Turkey is a popular, but underrated phenomenon, which is not sufficiently exploited by the banking sector. According to World Bank, 40% of Turkish SME’s are owned by women and only 40% were obtaining bank financing. This hidden potential was noticed by TEB and immediately implemented into a new bank strategy which targeted women-owned SMEs.
“A Project with ZUS” is an educational project in social insurance for the students of lower-secondary schools (Pol. gimnazjum) in Poland, i.e. young people of 13-15 years. The project is aimed at introducing students to fundamental issues related to social insurance and the relevant system in Poland. It points to specific topics but does not delve into the complex matter of social insurance. Working on the projects, students extend their knowledge by themselves – so they do not need to learn answers to all their questions and queries during classes.
The standardisation of the professional competence acquisition process, the improvement of financial transaction safety and higher competitiveness of Polish financiers in the domestic and European markets are the major challenges posed by the Sector Council for the Financial Sector Competence. The financial sector is launching a pioneering project aimed at matching the bankers' competence better with new market trends and customers' expectations.
New Zealand Bankers Association member - ASB Bank is deeply involved in promoting financial literacy among the youngest generation of New Zealanders. The program ASB GetWise is a great example of well-profiled, entertaining initiative which teaches children how to save, spend and manage their money.
There are several highly contested claims as to who originally invented the Automatic Teller Machine. One version is that the ATM machine was invented by Luther George Simijan, a US inventor with many patents, back in 1939. The mechanical (not electronic) cash-dispensing machine was opened by the City Bank of New York. However, Simijan, the inventor, soon remarked, “The only people using the machines were a small number of prostitutes and gamblers who didn’t want to deal with tellers face to face.”