The majority shareholding in a bank will be channeled through the FHC, and since under the proposed amendments, FHC supervision is with SBP, the shareholdings can be more closely monitored. (v)  The structure provides organic growth without increasing contagion risk as it is very unlikely that the whole group will fail.
They quickly took on systemic proportions and could only be addressed through the immediate mobilisation of substantial international effort. The Asian crisis in 1997 and 1998 was characterised by three important factors. Firstly there were macroeconomic imbalances, along with massive outflows of short-term capital. Secondly there was an acute crisis in the financial sector, reflecting institutional and banking practice weaknesses.