The Financial Crises typically take the form of currency, debt or banking crisis and have severe consequences for the economy. A question that begs an answer at this stage is why financial crises happen? There are, of course, many reasons – some economic, some social and some political.
While we would leave a detailed discussion on this issue for another day, suffice to say at this stage that the origin of all crises can be traced to a weakness in the underlying structure and an all-round failure to exercise self-restraint and lack of adherence to the established framework.