Global financial crises and its effects

Global financial crises is effecting the people all around the world and common people who have a limited budget to live are more worried because they can't save any money for future of emergency needs.

According to a report from 'Global issues' it says:

'The global financial crisis, brewing for a while, really started to show its effects in the middle of 2007 and into 2008. Around the world stock markets have fallen, large financial institutions have collapsed or been bought out, and governments in even the wealthiest nations have had to come up with rescue packages to bail out their financial systems.

On the one hand many people are concerned that those responsible for the financial problems are the ones being bailed out, while on the other hand, a global financial meltdown will affect the livelihoods of almost everyone in an increasingly inter-connected world.'

Global financial crises is effecting UK citizens as well!

The most prudent and cautious UK citizens have been affected by the global financial collapse, primarily due to falls in property prices. The March 2009 Halifax House Price Index showed that the average UK property now stands at £157,326. House prices are officially 17.5 per cent lower than they were just 12 months earlier and have returned to the level that they stood at in May 2004.

The Financial Services Authority (FSA) recently stated that if property prices fell by 30 per cent from their 2007 high, over 2 million people would fall into negative equity. They also believe that half a million buy-to-let mortgage holders would face negative equity. According to the latest housing market report by Capital Economics, it is believed that property prices will fall by a further 20 per cent during 2009. If this pessimistic scenario was to become a reality, the FSA's worst-case scenario will easily have been exceeded.

More at: Global Crisis hits UK families

Related posts:

* Why the Global Financial System is About to Collapse

* Global Financial Crisis