DISCUSSION:

It was not too long before neighboring continents and nations started to feel the effects of the European
bank failures, declines in various indices and massive declines in the market value of equities and
commodities. The de-leveraging of financial institutions lead to further liquidity problems and further
decreased the international trade. We will learn a glimpse of what happened with the global crisis. We
will know more about what happened and what is happening or what is projected to happen in relation
to the crisis, we may access in the internet and search the global financial crisis. This crisis has made the
or more so, the nation economic operation contribution and role of financial managers in so far as
directing the firms operation or more so, the nation economic operation increasingly significant. The
financial manager must maintain and sustain the economic capability of an enterprise or more so a
nation. Since financial markets are now international the financial manager must also be able to
competently manage the global financial affairs of the enterprise. Financial managers must be equipped
with the necessary tools essential in finding ways and means to cushion or hedge the effects of
significantly negative outcomes of risk and among other things relating to borrowings, foreign exchange
transactions, equity and debt transactions and inflations.