We used to witness global fi nancial crises mainly generated by the developed markets. After the increased liberalization trend, emerging markets that integrated to global markets began to trigger global fi nancial crises as well. With the increased market integration, fi nancial markets are much more vulnerable to global shocks. Corporate governance issues and risk management practices remain to be crucial in fi nancial markets fi eld. In local terms, following the banking and liquidity crises experienced, especially the drastic ones in 2000- 2001, Turkish banking sector has learned a lot and has developed substantial amount of precautionary and structural measures towards the crises.