Taking some measures for diminuation the obligatory minimal reserves of the banking societies and for the decrease of the monetary policy rate of interest, the Romanian National Bank intended to make ...available certain amounts of money to be used by the banking societies to credit the activity of the trading companies and of the natural persons. A diminuation of the interest for the credits granted by the banking societies is required, along with taking some political and fiscal measures.
Why Not Default? Roos, Jerome E
2019, 20190212, 2019-02-12
eBook
How creditors came to wield unprecedented power over heavily indebted countries-and the dangers this poses to democracy
The European debt crisis has rekindled long-standing debates about the power of ...finance and the fraught relationship between capitalism and democracy in a globalized world.Why Not Default?unravels a striking puzzle at the heart of these debates-why, despite frequent crises and the immense costs of repayment, do so many heavily indebted countries continue to service their international debts?
In this compelling and incisive book, Jerome Roos provides a sweeping investigation of the political economy of sovereign debt and international crisis management. He takes readers from the rise of public borrowing in the Italian city-states to the gunboat diplomacy of the imperialist era and the wave of sovereign defaults during the Great Depression. He vividly describes the debt crises of developing countries in the 1980s and 1990s and sheds new light on the recent turmoil inside the Eurozone-including the dramatic capitulation of Greece's short-lived anti-austerity government to its European creditors in 2015.
Drawing on in-depth case studies of contemporary debt crises in Mexico, Argentina, and Greece,Why Not Default?paints a disconcerting picture of the ascendancy of global finance. This important book shows how the profound transformation of the capitalist world economy over the past four decades has endowed private and official creditors with unprecedented structural power over heavily indebted borrowers, enabling them to impose painful austerity measures and enforce uninterrupted debt service during times of crisis-with devastating social consequences and far-reaching implications for democracy.
In this paper, we employ panel co-integration techniques to identify and estimate homogeneous long-run equilibrium relations for money and credit for 10 euro area countries. Over the period ...1999–2013, we do find evidence of such long-run relations when accounting for a structural break in 2008. While money and credit follow similar long run trends, the short and medium term relation between money and credit overhang is weak, throwing doubt on the hypothesis that money creating potential drives credit booms. Especially in current account deficit countries, we observe a sizable build-up of credit overhang prior to 2008. Positive (negative) credit overhang is strongly related to net foreign borrowing (lending).
•We employ panel co-integration method considering heterogeneity across euro area countries to estimate money and credit equilibrium relation.•Money and credit follow similar long run trend in the euro area.•Net foreign credit plays an important role in money and credit creation. For instance, positive (negative) credit overhang is strongly related to net foreign borrowing (lending).•Our results suggest a limited co-movement of money and credit overhang in short and medium run. Substantial and persistent credit overhang can emerge without the simultaneous increase in money overhang.
The requirement that public officials declare their income and assets can help deter the use of public office for private gain. Income and asset disclosure (IAD) systems can provide a means to detect ...and manage potential conflicts of interest, and can assist in the prevention, detection, and prosecution of illicit enrichment by public officials. Growing attention to anticorruption policies, institutions, and practices has led to increased interest in financial disclosure systems and the role they can play in supporting national anticorruption strategies and in helping to instill an expectation of ethical conduct for individuals in public office. IAD systems are also a key element in the implementation and enforcement of provisions of the United Nations Convention against Corruption and other international anticorruption agreements. This attention has sparked interest among policy makers and practitioners in the design features and implementation practices that make for effective financial disclosure administration. The case studies collected in this volume are intended to profile a range of systems and practices to help respond to this growing interest.
We analyze the behavior of foreign banks who sequentially provide credit to finance projects in an emerging market. The foreign banks are exposed to both project-risks and the macro-economic risk of ...a currency crisis, and there are no bailout guarantees. Nevertheless, we show that it is often the case that banks provide too much credit too easily and that this behavior may precipitate the onset of a currency crisis. We demonstrate how the imposition of capital controls in the form of taxes and subsidies on foreign investment may improve the situation. Whereas most of the literature on currency crises focuses its analysis on debtor countries and thus on the borrowers' side, our paper illustrates that the lenders' side also deserves attention.
This article attempts to respond to a simple question: What are the factors which caused the December crisis and whether or not they have been defused since president Duhalde came to power? The ...answer, by contrast, does not appear to be so straightforward. After analyzing a broad range of causes, some of which were thought of as harbingers of democratic breakdown and some which are considered driving forces of the current instability, this article points out two combined causes in the Argentinean crisis: the fragmentation of the politico-institutional system and the extreme dependency of its economy on foreign credit. Given the fact that both reasons cannot be fully understood simply in terms of historical precedent, the article also looks at what is new in this case.
We analyze the behavior of foreign banks who sequentially provide credit to finance projects in an emerging market. The foreign banks are exposed to both project-risks and the macro-economic risk of ...a currency crisis, and there are no bailout guarantees. Nevertheless, we show that it is often the case that banks provide too much credit too easily and that this behavior may precipitate the onset of a currency crisis. We demonstrate how the imposition of capital controls in the form of taxes and subsidies on foreign investment may improve the situation. Whereas most of the literature on currency crises focuses its analysis on debtor countries and thus on the borrowers' side, our paper illustrates that the lenders' side also deserves attention.
This article investigates empirically whether foreign and domestic credit rating agencies tightened their standards for evaluating Japanese regional banks from 2000 to 2009. We extend and enhance ...previous studies, including Gonis and Taylor (2009), by estimating an ordered probit model using pooled data for this period. Our results reveal that foreign agencies did not rate Japanese regional banks more stringently during this period, perhaps because they wished not to repel clients and reduce their revenues. Japan’s rating agencies showed the opposite tendency, perhaps to seek credibility among foreign investors.
Sierra Leone is still recovering from a brutal civil war (1991-2002), fuelled in part by a valuable and easily extractable natural resource (diamonds). Sierra Leone now stands on the verge of an ...unprecedented period of economic growth, driven primarily by revenues from large-scale iron ore mining. Yet it continues to face many governance and developmental challenges. The rapid rise of the extractives governance agenda in Sierra Leone requires an equally swift, yet strategic response from all stakeholders: the Government of Sierra Leone (GoSL), development partners (DPs), civil society organizations (CSOs), communities, and mining companies. This report uses a 'value chain' approach to mining governance which highlights the critical stages through which a resource dependent country is expected to progress as it seeks to transform resource rents into economic growth and sustainable human development. The objective of this study is ultimately to improve the management of the natural resource endowment, enjoyed by Sierra Leone, in a manner that will allow the revenues generated from natural resource extraction to contribute in an optimal manner towards sustainable economic growth. Specifically, the study focuses on mining (iron ore, diamonds, and other minerals) and to a much lesser extent, oil and gas. By using the 'theories of change' approach to political economy analysis, the report looks at the historical challenges around extractive governance, identifies systemic features, and characteristics of 'the problem', extrapolates and analyses the incentives shaping the activities and behaviors of key stakeholders, and then lays out a possible platform for engagement based on clearly identified entry points. This report is organized as follows: chapter one is introduction, chapter two presents a summary of previous analytical work on the political economy of Sierra Leone with special reference to the extractives sector, its governance past, and possible governance futures. Chapter three undertakes an in-depth analysis of the extractives value chain in Sierra Leone and chapter four identifies key stakeholders across this value chain, noting their influence on extractives management policy and implementation, their potential relationships with other stakeholders, and influence over policy outcomes. Chapter five identifies and highlights suitable entry points for policy dialogue on extractives-led governance in Sierra Leone and possible project and technical assistance interventions across the value chain.
FCIA: Help or Hindrance to Exports? Huszagh, Sandra M.; Greene, Mark R.
The Journal of risk and insurance,
06/1982, Letnik:
49, Številka:
2
Journal Article
Recenzirano
In an attitudinal survey of U.S. exporters drawn from 35 states and 2 territories, managers identify three federal programs as having a strong positive impact on their exporting activities: the ...Domestic International Sales Corporation, the Export-Import Bank, and the Foreign Credit Insurance Association. Attitudes differ depending on firms' product lines, export experience, size, and the percentage that exports contribute to annual gross sales. This paper focuses on exporters' attitudes toward the Foreign Credit Insurance Association, a subentity of the Eximbank, and incorporates respondents' remedies for improving this trade-facilitating tool. In spite of attempts to improve and extend export credit insurance, after 20 years of operation its use has been limited to insuring only two percent of U.S. exports. Suggestions are made for improving and extending the use of export credit insurance.
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