UK Daily Mail
Wednesday, Oct 8, 2008
The world’s most notorious rogue trader today said it was ‘foolish’ to trust governments and central banks to solve the global credit crunch.
Nick Leeson, whose trading led to the collapse of Barings Bank in 1995, said it was the political and banking leaders who allowed the financial meltdown to happen in the first place.
The former trader said for the past decade the British Government and the Bank of England simply did not understand what was happening in the financial markets.
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‘The Government didn’t see it coming,’ said Mr Leeson. ‘The central bank didn’t see it coming. And you have to ask yourself, why?
‘From my perspective, it’s because they didn’t understand the market and the impact that some of these products were going to have.
‘The reason for that is that they weren’t good enough.
‘You now entrust the same people to get you out of the situation. For me, that’s foolish.’
He said the current crisis has its roots in irresponsible lending over the past 10 or 12 years.
This article was posted: Wednesday, October 8, 2008 at 11:06 am