International Liquidity and the Financial Crisis

International Liquidity and the Financial Crisis
Author: Bill Allen
Publisher: Cambridge University Press
Total Pages: 271
Release: 2013-01-03
Genre: Business & Economics
ISBN: 1107030048

Explains how the financial crisis spread across the world, how damage was contained and how the monetary world has changed.

Global Liquidity - Issues for Surveillance

Global Liquidity - Issues for Surveillance
Author: International Monetary Fund
Publisher: International Monetary Fund
Total Pages: 63
Release: 2014-12-03
Genre: Business & Economics
ISBN: 1498343651

The paper starts by presenting evidence of commonality in global financial conditions. This commonality is then related to specific drivers of global financial conditions through a range of transmission channels, including cross-border banking and portfolio flows. Empirical analysis shows a range of price and quantity factors, including measures of risk, bank leverage, and interest rates in financial centers, to drive in part these flows. Country specific policies, including exchange rate and prudential frameworks, are shown to affect the transmission of global conditions. Much remains unknown though, including how evolving structures of global funding, changing institutions, and ongoing financial innovations affect the mechanics of liquidity creation, the channels of liquidity transmission, and potential risks going forward.

Managing Elevated Risk

Managing Elevated Risk
Author: Iwan J. Azis
Publisher: Springer
Total Pages: 129
Release: 2014-12-11
Genre: Business & Economics
ISBN: 9812872841

This book discusses the risks and opportunities that arise in Emerging Asia given the context of a new environment in global liquidity and capital flows. It elaborates on the need to ensure financial and overall economic stability in the region through improved financial regulation and other policy measures to minimize the emergent risks. "Managing Elevated Risk: Global Liquidity, Capital Flows, and Macroprudential Policy—An Asian Perspective" also explores the range of policy options that may be deployed to address the impact of global liquidity on domestic financial and socio-economic conditions including income inequality. The book is primarily aimed at policy makers, financial market regulators and supervisory agencies to help them improve national regulatory systems and to promote harmonization of national regulations and practices in line with global standards. Scholars and researchers will also gain important information and knowledge about the overall impacts of changing global liquidity from the book.

International Liquidity and the Role of the SDR in the International Monetary System

International Liquidity and the Role of the SDR in the International Monetary System
Author: Peter B. Clark
Publisher: International Monetary Fund
Total Pages: 38
Release: 2002-12
Genre: Business & Economics
ISBN:

This paper describes how the changed conditions in the international monetary system have undermined the role originally envisaged for the SDR. It argues that the concept of a global stock of international liquidity, which was fundamental to the creation of the SDR, is now no longer relevant. Nonetheless, there are good reasons to satisfy part of the growing demand for international reserves with SDR allocations: (i) there are efficiency gains, as SDRs can be created at zero resource cost, and thus obviate the need for countries to run current account surpluses or engage in expensive borrowing to obtain reserves, and (ii) there would be a reduction in systemic risk, as SDRs would substitute to some extent for borrowed reserves, which are less reliable and predictable source of reserves, especially in times of crisis.