IMF Conference

The Central American Monetary Council and 
the International Monetary Fund
Hosted by the Central Bank of Honduras
San Pedro Sula, Honduras
July 8-9, 2004  

The conference brought together senior policymakers from Central America and the Dominican Republic (ministers of finance, central bank governors, and bank superintendents) to discuss regional issues. This year’s conference focused on issues of economic growth and bank resolution frameworks. The conference was not open to the public but concluded with a press conference.

Conference presentations and background papers:

Felipe Larraín (growth)
Ricardo Hausmann (growth)
David Hoelscher and Luis Cortavarría (bank resolution frameworks)
R. Armando Morales and Alfred Schipke (financial sector issues)

Agenda

July 8, 2004

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12:30 - 1:45 p.m.

Informal Lunch

   

2:00 - 2:30 p.m.

Inauguration: Maria Elena Mondragón, President, Central Bank of Honduras

Opening Remarks: Agustín Carstens, Deputy Managing Director,IMF

 2:30 - 4:30 p.m.

Session I: Challenges for Regional Growth

Chair: Richard Aitkenhead, Senior Advisor to the President and former Minister of Finance, Guatemala

Lead Speakers:
Felipe Larraín, Pontificia Universidad Católica de Chile
Ricardo Haussman, Harvard University

Discussant:
Guillermo Perry, Chief Economist for Latin America and the Caribbean, World Bank

Floor open for discussion

The attainment of high rates of sustainable growth is a key challenge for Central America. While macroeconomic stabilization and structural reforms led to a resumption of growth in the 1990s, in recent years per capita income growth has been insufficient to ensure significant improvements in living standards and a reduction in poverty in most countries. The region is also facing rising competition from abroad in the traditional export sectors and the maquila industry. This session intends to identify the key factors and policies that will enable the region to improve its growth performance.

4:30 - 5:00 p.m.

 

Coffee

5:00 - 6:00 p.m.

 

Session II: Panel Discussion: Key Policy Requirements for Sustained Growth in Central America

  

Chair: Francisco de Paula Gutiérrez, President, Central Bank of Costa Rica

  

Introductory Remarks: Felipe Jaramillo, Lead Economist for Central America, World Bank

  

Panel:
Maria Antonieta de Bonilla, Minister of Finance, Guatemala
Arturo Alvarado, Minister of Finance, Honduras
Magín Díaz , Sub-Secretary of Finance, Dominican Republic

7:30 - 10:00 p.m.

 

Reception and dinner

  

Introduction: Maria Elena Mondragón, President, Central Bank of Honduras

  

Keynote Speech: Jaime Caruana, Governor, Central Bank of Spain: Bank Supervision in the 21st Century

   

July 9, 2004

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9:30 - 9:45 a.m.

 

Remarks by the President of Honduras: Ricardo Maduro

9:45 - 10:00 a.m.

 

Remarks by the Managing Director of the IMF: Rodrigo de Rato

10:00 - 11:15 a.m.

 

Session III: Issues in Bank Resolution: Crisis Prevention and Management

  

Chair: Rafael Barraza, Director, Director General, Escuela Superior de Economía y Negocios and former president, Central Bank of El Salvador

  

Lead Presentation: David Hoelscher and Luis Cortavarría, Bank Resolution Experience from Latin America and the Caribbean

  

Discussants: Eduardo Montiel, Minister of Finance and Public Credit, Nicaragua
Apolinar Veloz, Technical Director, Central Bank of the Dominican Republic

  

Floor open for discussion

Banking crises impose large economic costs on society, including output losses and fiscal cost. While sound macro and financial sector policies are key to minimizing the risk of a crisis, an appropriate resolution framework is also important for crisis prevention and dealing with a crisis in the least costly manner. Drawing on the experiences from banking crises in Latin America and the Caribbean, this session will identify "best practices" in crisis resolution.

11:15 - 11:30 a.m.

 

Coffee

11:30 - 12:45 p.m.

 

Session IV: Panel Discussion: Strengthening Regional Financial Sectors

  

Chair: Agustín Carstens, Deputy Managing Director, IMF

  

Introductory Remarks: Alfonso Llanes, Superintendent of Banks and Other Financial Institutions

  

Panel:
Luz María Serpas de Portillo, President, Central Bank of El Salvador
Lizardo Sosa López, President, Central Bank of Guatemala
José Lois Malkún, President, Central Bank of the Dominican Republic
Julio Cross, Superintendent of Banks, Dominican Republic
Ana Cristina Mejía de Pereira, President, National Commission of Banks and Securities, Honduras

12:45 - 1:00 p.m.

 

Closing Remarks:
Mario Alonso Icabalceta, President, Central Bank of Nicaragua, and President, CAMC
Anoop Singh, Director, Western Hemisphere Department, IMF

1:00 - 2:30 p.m.

 

Informal Lunch