Since the onset of debt-servicing problems in the J early 1980s, private market claims (external bank loans and bonds) on developing countries (Table 1) have virtually stagnated. After increasing somewhat in 1989 (by $13 billion), total claims on all developing countries (excluding offshore centers) rose by only $5 billion in 1990. The bulk of the movement was accounted for by cross-border bank claims. The increase in such claims fell from almost $11 billion in 1989 to $3½ billion in 1990 (a growth rate of some 1 percent), as debt reduction operations by a number of developing countries largely offset both the accumulation of interest arrears by several others and continued voluntary lending to developing countries in Asia. A sharp slowdown in debt reduction activity in early 1991—combined with continued interest arrears and further strong lending to Asian countries—led to a relatively pronounced increase in bank claims on developing countries in the first quarter of the year; quarterly data often show sharp swings, however, and the underlying trend continues to be one of extreme caution in bank lending to developing countries.
Brewer, Thomas L., “Foreign Direct Investment in Developing Countries,” World Bank Working Papers, WPS 712 (Washington: World Bank, June 1991).
Chartered West LB Ltd, “Confidence and Capital Repatriation in Latin America,” Developing Country Investment Review (March 1991), pp. 2–4.
Cockcroft, Laurence, and Roger C. Riddell, “Foreign Direct Investment in Sub-Saharan Africa,” World Bank Working Papers, WPS 619 (Washington: World Bank, 1991).
Conesa, Eduardo R., “The Causes of Capital Flight from Latin America” (mimeographed, Washington: Inter-American Development Bank, 1986).
Cuddington, John T., “Capital Flight: Estimates, Issues and Explanations,” Princeton Studies in International Finance, No. 58 (Princeton, New Jersey: 1986).
Cumby, Robert, and Richard Levich, “On the Definition and Magnitude of Recent Capital Flight,” in Capital Flight and Third World Debt, ed. by Donald R. Lessard, and John Williamson (Washington: Institute for International Economics, 1987).
Deppler, Michael, and Martin Williamson, “Capital Flight: Concepts, Measurement and Issues,” Staff Studies for the World Economic Outlook (Washington: International Monetary Fund, September 1987), pp. 422–36.
Dooley, Michael P., “Capital Flight: A Response to Differences in Financial Risks,” Staff Papers, Vol. 35 (Washington: International Monetary Fund, September 1988).
Dornbusch, Rudiger, “Capital Flight: Theory, Measurement and Policy Issues,” Occasional Papers, No. 1 (Washington: Inter-American Development Bank, 1991).
Dodsworth, John, Mohamed A. El-Erian, and D. Hamman, “Foreign Currency Deposits in Developing Countries—Origins and Economic Implications,” IMF Working Paper, WP/87/12 (Washington: International Monetary Fund, March 1987).
El-Erian, Mohamed A., “Currency Substitution in Egypt and the Yemen Arab Republic,” Staff Papers, Vol. 35 (Washington: International Monetary Fund, March 1988), pp. 85–103.
El-Erian (1991a), “The Restoration of Latin America’s Access to Voluntary Capital Market Financing—Developments and Prospects,” IMF Working Paper, WP/91/74 (Washington: International Monetary Fund, August 1991).
El-Erian (1991b), “Mexico’s External Debt and the Return to Voluntary Capital Market Financing,” IMF Working Paper, WP/91/82 (Washington: International Monetary Fund, August 1991).
Fischer, Stanley, “Seigniorage and the Case for a National Money,” Journal of Political Economy (Chicago: April 1987).
Gordon, David B., and Ross Levine, “The ‘Problem’ of Capital Flight: A Cautionary Note,” World Economy, Vol. 12 (June 1989).
Inotai A., “Liberalization and Foreign Direct Investment,” Foreign Economic Liberalization, A. Koves, and P. Moreur, eds., Westview Press (1991), pp. 99–112.
Internal Revenue Service, U.S. Department of the Treasury, “Study of Tax Amnesty Programs” (Washington: August 1987).
International Monetary Fund (1990a), International Capital Markets: Developments and Prospects, World Economic and Financial Surveys (Washington: International Monetary Fund, May 1990).
International Monetary Fund (1991), International Capital Markets: Developments and Prospects, World Economic and Financial Surveys (Washington: International Monetary Fund, May 1991).
Kahn, Moshin, and Nadeem Ul Haque, “Foreign Borrowing and Capital Flight: A Formal Analysis,” Staff Papers, Vol. 32 (Washington: International Monetary Fund, December 1985).
Kletzner, Kenneth, “Asymmetries of Information and LDC Borrowing with Sovereign Risk,” Economic Journal (Cambridge, England: June 1984), pp. 287–307.
Lessard, Donald R., and John Williamson, Capital Flight: The Problem and Policy Responses, Washington Institute for International Economics (Washington: November 1987).
Leonard, Herman B., and Richard J. Zeckhauser, “Amnesty, Enforcement and Tax Policy,” NBER Working Paper No. 2096 (Cambridge: National Bureau of Economic Research, December 1986).
Mathieson, Donald J., and others, Managing Financial Risks in Indebted Developing Countries, IMF Occasional Paper No. 65 (Washington: International Monetary Fund, June 1989).
Meyer A., and M.S. Bastos-Marques, “A Fuga de Capital no Brazil,” Fundaçao Getulio Vargas, Institute Brasileiro de Economia, Centro de Estudios Monetarios e de Economia Internacional, No. 06/89 (August 1989).
Morgan Guaranty Trust Company, “LDC Capital Flight,” World Financial Markets (New York: March 1986), pp. 13–15.
Ortiz, Guillermo, “Dollarization in Mexico: Causes and Consequences,” Financial Policies and the World Capital Market: The Case of Latin America, P. Aspe and others, eds. (Chicago: University of Chicago Press, 1983).
Ramírez-Rojas, C., “Currency Substitution in Argentina, Mexico and Uruguay,” Staff Papers, Vol. 32 (Washington: International Monetary Fund, December 1985), pp. 624–67.
Rojas-Suárez, Liliana, “Risk and Capital Flight in Developing Countries,” Determinants and Systemic Consequences of International Capital Flows, IMF Occasional Paper No. 77 (Washington: International Monetary Fund, March 1991).
Stella, Peter, “An Economic Analysis of Tax Amnesties,” IMF Working Paper, WP/89/42 (Washington: International Monetary Fund, May 1989).
Stiglitz, J.E., and A. Weiss, “Credit Rationing in Markets with Imperfect Information,” American Economic Review, Vol. 71 (Nashville, Tennessee: June 1981).
Uchitelle, Elliott, “The Effectiveness of Tax Amnesty Programs in Selected Countries,” FRBNY Quarterly Review (New York: Federal Reserve Bank of New York, Autumn 1989).
Wallace, Cynthia Day, ed., Foreign Direct Investment in the 1990s (Netherlands: Martnus Nijhoff Publisher, 1990).
World Bank, World Development Report (New York: Oxford University Press, 1985).
International Monetary Fund Copyright © 2010-2021. All Rights Reserved.