SIFI

SIFI stands for Systemically Important Financial Institution. These are banks or financial organizations whose failure could lead to significant disruptions in the financial system and the economy as a whole. Because of their size, interconnectedness, or critical operations, SIFIs are closely monitored and regulated by authorities to prevent potential crises. The goal is to ensure stability in the financial system, as the collapse of a SIFI could have widespread negative effects, affecting businesses, consumers, and global markets.