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The article focuses on the financial crises being faced by banking firms in the European Union countries. Topics discussed include the falling bank shares as of January 2016, the negative interest rates pursued by central banks, and the bank share prices. Information related to the business models, economic impact, and regulation governing the banking industry, are also included.

The article discusses the impact of a debt crisis in Europe on European banks. Banks' stock prices have fallen, reflecting a concern among investors about future bank earnings. Banks have become reluctant to lend money to one another, and some are hoarding cash. Banks have become more dependent on the European Central Bank for funding.

The article discusses the Italian government's providing finance to the country's banking industry to prevent a financial crisis, including the role that the Italian government's bank rescue fund known as Atlante plays in this regard. An overview of Atlante's use in reducing non-performing loans (NPLs) is provided.

The author offers opinions on the resignation of Vikram Pandit as Chief Executive Officer (CEO) of the banking industry firm Citigroup and his replacement by Michael Corbat. Pandit's tenure as CEO is praised. Citigroup's finances are said to reflect the fact that major U.S. banks have recovered from the Global Financial Crisis far more quickly than European Union country banks, which are at further risk due to the European Sovereign Debt Crisis.

The author offers opinions on international economic relations and international finance. A liquidity crisis in the European Union countries banking industry is said to be possible due to concerns among investors such as money market funds about bank holdings of government securities of euro area countries. This in turn is said to make a severe recession in Europe more likely, one that could limit economic growth in the rest of the world.

The article considers banking industry finance in European Union (EU) countries. A proposal by Prime Minister Angela Merkel of Germany and President Nicolas Sarkozy of France to recapitalize banks which are at risk of major losses from defaults on public debts by countries in the euro area monetary union is examined. A theoretical requirement that banks increase capital by eight percent is used to illustrate the difficulties bank recapitalization poses for both banks and EU countries.

Comments on the adoption of the euro as a single currency in the European Union in light of the global financial crisis. Impact of the crisis on Europe's financial markets; Lending of funds to emerging-nations from European banks; Impact on the euro of the weakening United States dollar; Possibility of a world recession.