[ Shadow banking could trigger next financial crisis, ECB warnsOpens in new window ]It was a wake-up call. Shadow banking is a crash – or series of accidents – waiting to happen. It would be only prudent to assume that shadow banking, along with its unknown and potentially catastrophic risks, is part and parcel of these structures. About half of their money comes from overseas institutions and the extent of their exposure to shadow banking is simply unknown, but the risk is clear. The notion that Ireland is in some way immune from the consequences of something going badly wrong in the shadow banking sector is a foolhardy one.

Source: The Irish Times July 17, 2024 16:51 UTC