MC:Euro crisis is more threatening than 2008: George Soros
The Euro crisis is looming large and may take a more difficult turn soon. That is the warning from billionaire investor George Soros. According to him, the Euro crisis is more threatening than the 2008 crisis.
On a visit to India, Soros spoke about the European crisis and its impact on the world economy, including, India. Calling the Euro break-up as 'catastrophic' for EU and the world, he pointed out that it can even endanger its existence. He also added that markets are already beginning to price in the possibility of a Euro break-up.
Soros elaborated that there were certain inadequacies when the EU was set up as it was a currency union but without a political union. "There are structural flaws in the EU financial system and imbalances in European economic performance," he reiterated. However, there are more danger ahead as flaws in the design of Euro are still unrecognised.
Soros also strictly said that there are imbalances between creditor and borrower nations.
