The Bank Insolvency: From Lehman Brothers to COVID-19 (International Remarks and National Peculiarities)

Fiscal sustainability and fiscal risk in the EU: forecasts and challenges in terms of COVID-19

“…The "new normality" requires management goals (Terziev, 2020). In such situations, many public companies and banking institutions face the risk of persistent negative performance and, eventually, bankruptcy (Zahariev, et al, 2020b). On April 9, 2020 the Bulgarian National Bank Governing Council approved the submitted by the Association of Banks in Bulgaria draft Procedure for Deferral and Settlement of Liabilities Payable to Banks and their Subsidiaries -Financial Institutions in relation to the state of emergency enforced by the National Assembly on 13 March 2020.…”

“…Once approved, the document constitutes a private moratoria within the meaning of the European Banking Authority (EBA) Guidelines on treatment of public and private moratoria in light of COVID-19 (EBA / GL / 2020/02). As of June 30, 2020, a total of 118,584 claims for liabilities with a gross carrying value of EUR 5 billion were submitted under the Procedure for deferral and settlement of liabilities payable to banks and their subsidiaries -financial institutions (Zahariev, et al, 2020b). Of these, 98,499 were approved for EUR 4.15 billion.…”

Корпоративна соціальна відповідальність в умовах Covid-19: досвід болгарського бізнесу

“…European Commission logically derogates from public debt and deficit limits in spring 2020 (Zahariev, Radulova, Aleksandrova, & Petrova, 2021a) [14] in favore of resource-providing policies to address the negative effects of Covid-19. The European Central Bank (Zahariev, et al, 2020c) [12] allowed the central banks of the Eurozone and EU member countries to implement mechanisms for deferring the maturity of loans, which naturally led to liquid business support, but also reduced the profits of commercial banks. The insurance sector (Zahariev, et al, 2020d) [13] also suffered some damage that changed traditional actuarial models and life insurance plans.…”

The Subprime Crisis: A Systemic Failure in Financial Markets

“…Liquidation of the "toxic element" in the financial system, emulating "Lehman Brothers" in the US as of September 15, 2008, through an official voluntary insolvency procedure that the bank's management announced before the relevant regulatory agency. The regulation claims that large banks, savings and loans, and brokerage firms were primarily impacted and that this liquidation had a "cascading" effect on numerous other financial institutions [2].…”