DIGITAL REPOSITORY
Economic Commission for Latin America and the Caribbean

Abstract This paper explores the complementary use of two instruments to manage capital-account volatility in developing countries: capital account regulations and counter-cyclical prudential regulation of domestic financial intermediaries. Capital-account regulations can provide useful instruments in terms of both improving debt profiles and ...

Abstract In this overview we analyse, first, why funds continued to flow towards emerging economies, while fundamentals in host countries had been deteriorating before the Asian crisis (a rising external deficit, with a significant liquid component; appreciating exchange rates; low capital formation, particularly in Latin America), and why funding ...

Abstract The paper deals with changes in the regulation and supervision of the Latin American financial sector in the aftermath of the Tequila Crisis of 1994-1995. While it finds that both have improved, regulation and supervision cannot resolve all problems; good macroeconomic policy and performance are essential complements. This is especially true ...

Preface This book consists of two complementary parts: (1) an analysis of new trends in various categories of capital flows to emerging economies since the Asian crisis, their determinants and their international policy implications, and (2) an evaluation of national policies to reduce the volatility of capital flows and the negative impact of ...