This paper summarizes the degree of Citigroup's involvement in causing the 2008 Financial Crisis. It also explains how Citigroup managed to survive through the crisis and how it is doing in the current market. In addition to that, this paper also gives a general overview of the situation before, after, and during the crisis. 2008 Financial Crisis, also known, as "The Great Recession" was one of the biggest financial crises in the world history, which lasted from 2007 to 2009, but the effects of the crisis are still being felt today. It threatened the collapse of many big businesses, and needed to take cover under the National banks of the respective countries. Industries such as housing markets had many evictions and foreclosures, whereas investments banks were losing billions of dollars while the stock prices were dropping like the meteors from the sky. It also left large banks unable to lend money to the borrowers and needed support from the national banks of the country. Some people compare the crisis to be close to the 1930s Great Depression, whereas some say that it was even more severe than that. Mr. Bernanke, a lawyer representing American Insurance Group stated that the financial crisis of 2008 was the biggest in the global history including The Great Depression, while linking AIG to the 2008 financial crisis in a court on Aug 22, 2014. However, his claims were much argued and proven wrong by Milton Friedman who stated that the recession caused by the financial was not as deep as the one caused by the Great Depression, which led to the fall of the country's GDP by 25 to 30% and lasted much longer than the Great Recession. 1 Financial crisis of 2008 has left many nations crippled. The result of the crisis was the Euro Crisis in the Europe and its effects are still being felt today.2 .
The biggest incident that made people realize the gravity of the crisis was the bankruptcy of Lehman Bros.