(C) Too much noise about CEE economies and banks

This comment comes from the CEE, therefore, please subtract my CEE bias on the issue and focus on the facts, I dare add on the continuous noise about the CEE economies and banks.

1. The region has brought 80% of the returns of the WE banks, just out of 20% of their assets. That is a great return, don't you agree!?, ... and it kept on attracting the greedy WE bankers ... and they kept on pushing their credit expansion in the region, harnessing all their potential to evade the regulatory restrictions on excess lending. Well they "succeeded", kudos... One thing was out of the bankers minds all these 7-8 years - the RISK. They forgot their first finance class - the RETURN goes hand in hand with the RISK.

2. The shock in the financial system in the CEE is 99% exogenous - I mean 99%. It is Europe that pays the toxic losses of the US these days, and it is Europe that holds its imports and restrains its financial expansion, due to the losses suffered from the US fancy investment products. Well it is the same Europe that was importing heavily from the CEE and was investing heavily in the CEE. I guess the link is pretty clear now...

3. Those who orchestrated the housing and the credit bubbles, should have seen the consequences of their efforts to please their consumers, at the expense of a financial Armageddon in the weaker regions of the world...

4. Please do not blame the CEE for what you see on your Bloombergs' and Reuters' ... it is a result of the excessive consumption and gluttonous greed in other parts of the world!!