International banking and its effects on global finance is a topic that has gained significant attention in recent IELTS Writing Task 2 exams. Based on analysis of past exam trends, this subject is likely to appear with increasing frequency in future tests. Its relevance to current economic issues makes it an important area for IELTS candidates to understand and be prepared to write about.
One of the most common question types related to this topic is as follows:
Some people think that international banking systems have a negative impact on the global economy, while others believe they are essential for economic growth. Discuss both views and give your own opinion.
Let’s analyze this question and provide sample essays for different band scores, along with detailed explanations of their strengths and weaknesses.
Question Analysis
This question presents a balanced argument task, asking candidates to discuss two contrasting viewpoints on international banking systems:
- They have a negative impact on the global economy
- They are essential for economic growth
Candidates are expected to explore both perspectives and then provide their own opinion. A well-structured essay should:
- Introduce the topic and clearly state the two viewpoints
- Discuss reasons and examples supporting each view
- Present a balanced argument
- Conclude with a clear personal opinion
Now, let’s examine sample essays for different band scores.
Sample Essay 1 (Band 8-9)
International banking systems have become an integral part of the global economy, sparking debates about their overall impact. While some argue that these systems have detrimental effects on the world economy, others maintain that they are crucial for fostering economic growth. This essay will examine both perspectives before presenting my own viewpoint.
Critics of international banking systems often point to their potential to exacerbate economic instability. They argue that the interconnectedness of global financial institutions can lead to rapid contagion during crises, as witnessed during the 2008 financial meltdown. Furthermore, some contend that these systems facilitate tax evasion and money laundering, depriving nations of crucial resources for development. The opacity of certain international banking practices can indeed undermine economic transparency and accountability.
On the other hand, proponents assert that international banking systems are indispensable for global economic progress. They emphasize that these systems enable efficient capital allocation across borders, fostering investment and growth in developing economies. Moreover, international banks play a crucial role in facilitating international trade through services like letters of credit and foreign exchange. The ability to transfer funds seamlessly across countries has undoubtedly contributed to the expansion of multinational corporations and global supply chains.
In my opinion, while international banking systems do pose certain risks, their benefits to the global economy far outweigh the drawbacks. The key lies in implementing robust regulatory frameworks to mitigate potential negative impacts. By enhancing transparency, strengthening oversight, and promoting responsible banking practices, we can harness the power of international banking to drive sustainable economic growth worldwide.
(Word count: 275)
International banking impact on global economy
Band 8-9 Essay Analysis
This essay demonstrates excellent coherence and cohesion, presenting a clear and balanced argument. Key strengths include:
Task Achievement: The essay fully addresses all parts of the task, discussing both viewpoints and providing a clear personal opinion.
Coherence and Cohesion: Ideas are logically organized with clear progression. Paragraphs are well-linked using appropriate cohesive devices.
Lexical Resource: A wide range of vocabulary is used accurately and appropriately. Complex ideas are expressed with precision.
Grammatical Range and Accuracy: The essay displays a wide range of grammatical structures used accurately and flexibly.
Critical Thinking: The essay demonstrates a nuanced understanding of the topic, acknowledging complexities and suggesting solutions.
Sample Essay 2 (Band 6-7)
International banking systems have become a hot topic in discussions about the global economy. Some people think they are bad for the world economy, while others believe they help economic growth. This essay will look at both sides and give my opinion.
People who criticize international banking systems say they can cause problems for the global economy. For example, when one bank has trouble, it can affect banks in other countries too. This happened in the 2008 financial crisis. Also, some people use international banks to avoid paying taxes, which is not good for countries.
On the other hand, supporters of international banking systems say they are important for economic growth. These systems help money move between countries easily, which is good for businesses and trade. They also help people invest money in different countries, which can help poor countries develop.
In my opinion, international banking systems are more helpful than harmful for the global economy. However, I think there should be better rules to stop people from using them in bad ways. If we can make international banking safer and fairer, it will be good for everyone.
(Word count: 206)
Pros and cons of international banking
Band 6-7 Essay Analysis
This essay demonstrates a good understanding of the task and presents a clear structure. However, it lacks the sophistication and depth of the Band 8-9 essay. Key points:
Task Achievement: The essay addresses all parts of the task, but the ideas are less fully developed.
Coherence and Cohesion: The essay is generally well-organized, but the linking between ideas could be more sophisticated.
Lexical Resource: The vocabulary used is adequate but lacks the precision and range of higher band scores.
Grammatical Range and Accuracy: The essay uses a mix of simple and complex sentences but with less flexibility than the Band 8-9 essay.
Critical Thinking: While the essay presents both viewpoints, the analysis is more superficial compared to the higher band essay.
Vocabulary to Remember
- Integral (adjective) /ɪnˈteɡrəl/ – necessary and important as a part of a whole
- Exacerbate (verb) /ɪɡˈzæsərbeɪt/ – make (a problem, bad situation, or negative feeling) worse
- Contagion (noun) /kənˈteɪdʒən/ – the spreading of a harmful idea or practice
- Opacity (noun) /əʊˈpæsəti/ – the quality of being difficult to understand or explain
- Indispensable (adjective) /ˌɪndɪˈspensəbl/ – absolutely necessary
- Facilitate (verb) /fəˈsɪlɪteɪt/ – make an action or process easy or easier
- Seamlessly (adverb) /ˈsiːmləsli/ – in a smooth and continuous way, with no apparent gaps or spaces
- Mitigate (verb) /ˈmɪtɪɡeɪt/ – make less severe, serious, or painful
These vocabulary items can significantly enhance your essay’s lexical resource, demonstrating a wide range of sophisticated language use.
Conclusion
The topic of international banking’s impact on global finance is likely to remain relevant in future IELTS Writing Task 2 exams. To prepare effectively, practice writing essays on related subjects such as:
- The role of central banks in managing national economies
- The impact of digital currencies on traditional banking systems
- The challenges and opportunities of financial globalization
Remember to structure your essays clearly, use a range of vocabulary and grammatical structures, and present balanced arguments supported by relevant examples. As a practice exercise, try writing your own essay on the given topic and share it in the comments section for feedback and discussion.
importance of digital banking for businesses
This approach to studying and practicing IELTS Writing Task 2 will help you develop the skills necessary to tackle a wide range of topics confidently in the exam. Good luck with your IELTS preparation!