06152oam 22011054 450 991080716610332120240402044552.01-4623-6589-21-4519-9233-51-282-84087-897866128408761-4518-6994-0(CKB)3170000000055034(EBL)1605816(SSID)ssj0000943990(PQKBManifestationID)11501261(PQKBTitleCode)TC0000943990(PQKBWorkID)10982912(PQKB)10081310(OCoLC)252904214(MiAaPQ)EBC1605816(IMF)WPIEE2008135(EXLCZ)99317000000005503420020129d2008 uf 0engurcnu||||||||txtccrCentral Bank Involvement in Banking Crises in Latin America /Luis Jácome1st ed.Washington, D.C. :International Monetary Fund,2008.1 online resource (51 p.)IMF Working PapersIMF working paper ;WP/08/135Description based upon print version of record.1-4519-1447-4 Includes bibliographical references.Contents; I. Introduction; II. Taking Stock of Banking Crises in Latin America; A. Defining Banking Crises; B. The Roots of the Crises; Figures; 1. Capital Flows and Banking Crises in Latin America; 2. Financial Reform and Banking Crises in Latin America; 3. Real Effective Exchange Rate and Banking Crises in Latin America; 4. Banking Crises and Real Credit Growth; C. Some Stylized Macroeconomic Facts Accompanying Banking Crises; Tables; 1. Banking Crises in Latin America and Relevant Macro-Financial Features; III. The Role of Central Banks in Banking Crises in Latin AmericaA. Intensive Use of Central Bank Money 2. Modalities of Monetization of Banking Crises; 5. Large Banking Crises in Latin America-Selected Episodes; B. The Role of the Institutional Framework; 6. Minor and Moderate Banking Crises in Latin America-Selected Episodes; 3. Institutional Framework behind Banking Crises in Latin America; Boxes; 1. Large ""Monetization"" of Banking Crises in Selected Countries; 2. Effective Episodes of Bank Restructuring and Resolution in Selected Countries; IV. Macroeconomic Repercussions; A. On Monetary Policy; 3. Banking Crises and Monetary Policy7. Performance of the Money Multiplier in the Midst of Banking Crises in Latin America B. On Macroeconomic Stability; 4. Pair-Wise Correlations Between Selected Variables; 8. Banking Crises and Central Bank Money; 9. Central Bank Money in Banking Crises and Currency Depreciation; 10. Central Bank Money in Banking Crises and Fall in International Reserves; 5. Monetization of Banking Crises, Inflation, and Economic Growth; V. Lessons and Concluding Remarks; Appendix; I. Sample of Episodes of Banking Crises in Latin America from 1990 to 2006-Stylized Facts and Policy Response; ReferencesThis paper reviews the nature of central bank involvement in 26 episodes of financial disturbance and crises in Latin America from the mid-1990s onwards. It finds that, except in a handful of cases, large amounts of central bank money were used to cope with large and small crises alike. Pouring central bank money into the financial system generally derailed monetary policy, fueled further macroeconomic unrest, and contributed to simultaneous currency crises, thereby aggravating financial instability. In contrast, when central bank money issuance was restricted and bank resolution was timely executed, financial disturbances were handled with less economic cost. However, this strategy worked provided appropriate institutional arrangements were in place, which highlights the importance of building a suitable framework for preventing and managing banking crises.IMF Working Papers; Working Paper ;No. 2008/135Financial crisesLatin AmericaMonetary policyLatin AmericaBanks and BankingimfFinancial Risk ManagementimfMoney and Monetary PolicyimfFinancial CrisesimfBanksimfDepository InstitutionsimfMicro Finance InstitutionsimfMortgagesimfMonetary Policy, Central Banking, and the Supply of Money and Credit: GeneralimfFinancial Institutions and Services: Government Policy and RegulationimfEconomic & financial crises & disastersimfBankingimfMonetary economicsimfBanking crisesimfMonetary baseimfFinancial crisesimfBank resolutionimfBanks and bankingimfMoney supplyimfCrisis managementimfEcuadorimfFinancial crisesMonetary policyBanks and BankingFinancial Risk ManagementMoney and Monetary PolicyFinancial CrisesBanksDepository InstitutionsMicro Finance InstitutionsMortgagesMonetary Policy, Central Banking, and the Supply of Money and Credit: GeneralFinancial Institutions and Services: Government Policy and RegulationEconomic & financial crises & disastersBankingMonetary economicsBanking crisesMonetary baseFinancial crisesBank resolutionBanks and bankingMoney supplyCrisis management330.9800411Jácome Luis1450030DcWaIMFBOOK9910807166103321Central Bank Involvement in Banking Crises in Latin America4114011UNINA