Grexit would be different test than Lehmans: finance minister

New Zealand's finance minister, Bill English, has warned a Greek default or exit from the eurozone would present different challenges to the global financial system than those faced during the Lehman Brothers crisis of 2008.

He told Bloomberg that liquidity backstops, such as international swap lines, have strengthened since the financial crisis. Meanwhile, banks have scaled back their balance sheets, making them more resilient. Argonaut's Norris: Why a Greek default would be no tragedy However, a Grexit would still be a step into the unknown for the global financial system, he added. "In some respects it is better prepared, in other respects it is untested as to how it would absorb a significant shock -- because a lot of the risk has been regulated out of the banking system," English said "We don't...