DYNAMIC FINANCIAL INSTITUTIONS: AN ANALYSIS

Recession is one of the challenges to financial institutions. Economic growth is the causality and many firms disappear. Capital is lost and management skills are questioned. Efforts are always visible to the wisdom of management but how these efforts turn to be futile it is mystery. Man is competent each time from failure but the economy struggles always. Many governments disappear and there is political instability. There are several management and political decisions which are contributing to institutional failures. Reasons are many including natural calamities. It directly affects financial institutions. Financial institutions should survive or perish. Mechanism has to be reinvented suitably.