IMF Working Papers

Resilience in Latin America: Lessons from Macroeconomic Management and Financial Policies

By Jose De Gregorio

December 20, 2013

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Jose De Gregorio. Resilience in Latin America: Lessons from Macroeconomic Management and Financial Policies, (USA: International Monetary Fund, 2013) accessed November 23, 2024
Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary

This paper analyzes the unprecedented resilience of Latin American countries to the global financial crisis. It argues that sound macroeconomic conditions, which allowed an unusual monetary and fiscal expansion, exchange rate flexibility, a strong and well--regulated financial system, high level of reserves, and a bit of luck coming from very high terms of trade, were central to good economic performance. Persevering along the road of strong macroeconomic and financial policies is necessary, but not sufficient, to go from recovery to sustained growth.

Subject: Commercial banks, Currencies, Emerging and frontier financial markets, Exchange rates, Financial crises, Financial institutions, Financial markets, Foreign exchange, Money

Keywords: Asia and Pacific, Banking system, Commercial banks, Crisis, Currencies, Currencies of emerging market economies, Currency exposure, Emerging and frontier financial markets, Europe, Eurozone crisis, Exchange rate, Exchange rate depreciation, Exchange rates, Financial collapse, Financial policies, Global, Latin America, Macroeconomic management, Market, Market participant, Monetary policy, Resilience, Terms of trade, WP

Publication Details

  • Pages:

    24

  • Volume:

    ---

  • DOI:

    ---

  • Issue:

    ---

  • Series:

    Working Paper No. 2013/259

  • Stock No:

    WPIEA2013259

  • ISBN:

    9781475550214

  • ISSN:

    1018-5941

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