1. Strengthening Financial Sector Governance in Emerging Markets
- Author:
- Robert Litan, Michael Pomerleano, and V. Sundararajan
- Publication Date:
- 07-2002
- Content Type:
- Policy Brief
- Institution:
- The Brookings Institution
- Abstract:
- Policymakers and analysts are still sifting through the wreckage of the Asian financial crisis of 1997 and the subsequent crises in Russia, Turkey, and Argentina to discern key lessons so that similar crises will not recur. Some lessons are by now well understood. Pegged exchange rates can encourage excessive borrowing and expose countries to financial collapse when foreign exchange reserves run dry. Inadequate disclosures by both private companies and public bodies can lead to similar dangers. Although many factors undoubtedly contributed to these crises, it is now widely recognized that each suffered from a failure in “governance,” and in particular a failure in governance in their financial sectors. Accordingly, the World Bank Group, the International Monetary Fund (IMF), and the Brookings Institution devoted their fourth annual Financial Markets and Development Conference, held in New York from April 17-19, 2002, to the subject of financial sector governance in emerging markets. This conference report summarizes some of the highlights of the conference, whose full proceedings will be published as a Brookings book in the fall of 2002.
- Topic:
- Economics, Emerging Markets, Government, and International Trade and Finance
- Political Geography:
- Russia, New York, Turkey, Asia, and Argentina