Euro contingency planning
16 May 2012
The possibility of Euro break-up is now being discussed openly.
The negative consequences of some scenarios are so severe that we sincerely hope that such final outcomes will be avoided – there is a strong imperative on Europe to find a solution to avoid the worst outcomes. Even so it behoves treasurers to be briefing themselves on the issues and possibilities.
Working together the ACT and Deloitte have produced a briefing note on Euro contingency planning. Planning for unprecedented possible outcomes is not easy but steps can be taken right away and this briefing will serve as a checklist of aspects to review and consider.
Were some sort of break up to occur many of the risk arising are routine treasury management issues but taken to the extreme. The wider consequence is likely to be a general downturn and in that context the ACT has also updated its briefing note on Contingency planning for a downturn in the economy: a treasurer’s checklist.
To help provide a range of views along with specific legal and economic information the ACT has collected together some weblinks to provide further relevant commentary and technical briefings.