李月芬：我曾告诫一些非洲国家，大量借款时要小心(18)

For the Silicon Valley Bank, one important thing is the mismatch in the maturity of their assets. For instance, they use short term deposits for long term instruments, and in the end, when there are interest rate hikes, there is a run on the bank. Proper regulation, proper transparency, so that the authorities and even ordinary citizens know what is happening will be very important for the banking sector and also for the financial sector of an entire country. This is an important lesson.
Also, through the bailing out, or through the rescue of these two banks, we can also see the big challenges facing the developing countries. You can see very clearly that the two banks, within two or three days, they could raise hundreds of billions of dollars through swap lines. In the US, the swap line is huge on a daily basis.
When I went to the Washington Spring Meeting, the developing countries were saying, the US can raise hundreds of billions of dollars and save the bank within three days, while for developing countries, once they face financial difficulties, three years they don"t see things moving. Here we can see the asymmetry in the liquidity provision to developed countries and the liquidity provision to the developing countries. Big difference.