BNP Paribas CEO Lectures at AUBG
Ullrich Schubert, CEO of BNP Paribas Bank Sofia Branch, gave a lecture in front of AUBG students this Tuesday, February 28. He talked about the banking regulations that came into existence after the last market crash. The event was organized by the Business Club.
Basel III, as the set of regulations is called, was first published in late 2009 by the Basel Committee on Banking Supervision. It combines a set of measurements that are in essence designed to prevent situation similar to the Lehman Brothers bankruptcy of 2008. Schubert claimed that even if you ask bank officers to explain Basel III, you will find at most three people, who can do it right. “Don’t expect me to be one of these people,” he said, but promised to do his best.
The essence of Basel III is risk management, in other words making sure banks can pay off their liabilities even when the market is not so stable, and making bankruptcy a less likely option. The CEO mentioned how the French-based Paribas aspired to resemble the big US banks like Citibank, but actually came off to be stronger after the crisis due to its better liability policies. The Lehman Brothers bankruptcy left the leading role in banking to Europe. “But we are not happy it happened. Lehman should not have happened. We would be in a much better position now as a whole,” commented Schubert.
Although, the lecture revolved around what should have been done, and how Basel l and II failed to prevent anything, but only appeared post factum, there was much positivism in the discussion. Schubert commented on how well countries for the Eurozone were doing in complying with Basel III. “Bulgaria is doing good […] Individuals adjusted fast to the crisis,” the CEO added.
Schubert emphasized on how happy he was to be visiting AUBG for the fourth time. “You always ask me about banking, and I always ask you something about your life,” he said. The lecture on banking regulations was actually the second one for the day, the first one being focused on the new Entrepreneurship class. Schubert said there was not much change in AUBG, but rather a consistency of interest and involvement in such topics. “The questions asked after my lectures, show me there is full understanding of what I say, so students don’t simply study here to pass the time,” he elaborated.
The event was held in room 103 in BAC and gathered a full house, with some people even having to stand in the back. It was coordinated by Kristina Stoycheva, sophomore and member of the Business Club. “I thought the topic was current and the discussion would be interesting. And I think it went quite well,” Stoycheva said. She wanted to invite Schubert since the beginning of the semester, and managed to reach him through an AUBG alumnus working in Paribas Sofia.
Schubert also mentioned that several AUBG alumni work with him now. “A few years back, some people from AUBG worked with us, then went to Ivy League Schools to get their MBAs.” He assured us that a bright future awaits the ones, who are willing to do what it takes. He explained that today’s world is more proactive and simply studying a lot is no longer enough. “You have to strive to do something bright,” he concluded.