In the days preceding my return to the Bank of Mauritius, not a single day passed by without the Euro crisis making headlines in the local press.
In the subprime market, higher-risk borrowers pay higher prices. Subprime lending has grown rapidly, from less than 5 percent of all mortgage lending in 1994 to an estimated 20 percent in 2005, or over $ billion. The wider range of loan pricing available in the subprime market helped to expand consumers’ homeownership opportunities and to increase their access to home equity.