According to Google Trend, Singapore ranked top among those who Google search for the phrase 'bank run'. Is this a sign or some worries going on in the island? Perhaps there is a valid reason for Singapore banks and government to be worried.
According to Moody's assessment in 2011, Singapore and Hong Kong will be the hardest hit countries in the event of an Europe banking crisis.
“An escalation of the euro area crisis could quicken the retreat of European banks from the region,” said Jean-Francois Tremblay, Associate Managing Director at Moody’s Investor Service.
According to Zerohedge article (Why Stability Stalwart Singapore Should Be Seriously Scared If The Feta Is Truly Accomplished) published recently, Singapore's exposure to Euro banks' claim has reached 60% of GDP (citing BIS and BofA Merril Lynch Global Research).
"Widespread risk aversion linked to fears of a Greek euro exit underscores the global nature of the European crisis. As we argued in the new year, the systemic threat of an untamed banking and sovereign crisis in Europe would push reluctant outsiders to preventively bolster IMF funding. This indeed materialized in March. However, both IMF and European firewalls still fall short of the amounts needed to protect Italy, Spain and the rest of the periphery. Global markets thus remain sensitive to rising probabilities of tail-risk scenarios."
With all these underlying global implications, do you think the world is going let Greece exit out of Euro?