HSBC Chairman Green: Financial Crisis Is Far From Over

13th Jul 2010 10:23

By Patricia Kowsmann Of DOW JONES NEWSWIRES LONDON (Dow Jones)--HSBC Holdings PLC (HBC) Chairman Stephen Green Tuesday said the financial crisis isn't over yet, though "we're on our way out," and suggested that markets shouldn't be complacent about the possibility of future shocks. Speaking at the British Bankers' Association's annual international banking conference, Green said he welcomes much of the effort by governments and regulators to improve financial system oversight--including the U.K.'s plan to create a new financial policy committee to try to guard against booms and busts in the economy--but that there's also a risk that the new order for global supervision could lead to "rigidity, bureacracy and complexity." Global coordination is essential, he said. "We are three years in from a crisis that is far from over. We are not out of the woods yet and may see some shocks from countries" that are facing big amounts of debt, Green said. In addition to macroeconomic risks, Green said protectionism is also a worry, as authorities seek to appease voters with country- or region-specific regulatory reforms. When asked if banks should be big or small, he said the system needs "different kind of models." --By Patricia Kowsmann, Dow Jones Newswires; Tel +44(0)207-842-9295, [email protected] (END) Dow Jones Newswires July 13, 2010 05:23 ET (09:23 GMT)