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Strengthening IMF Crisis Prevention
Author:
Mr. Jonathan David Ostry
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and
Mr. Jeromin Zettelmeyer
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Series:
IMF Working Papers
Volume/Issue:
Volume 2005: Issue 206
Language:
English
Publication Date:
01 Nov 2005
DOI:
https://doi.org/10.5089/9781451862256.001
ISBN:
9781451862256
ISSN:
1018-5941
Pages:
23
Keywords:
WP; fund; country; policy; lending; IMF crisis lending; International Monetary Fund; Crisis prevention; IMF surveillance; fund crisis-prevention policy recommendation; country policy; IMF disbursement; IMF crisis prevention; IMF decision; IMF package; Capital markets; Emerging and frontier financial markets; Exchange rates; Global
Legal-disclaimer:
IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.
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To better fulfill its crisis-prevention mandate, IMF surveillance needs to provide stronger incentives for countries to follow good policies and for markets to avoid boom-bust cycles in capital flows. To this end, surveillance should culminate in a summary public assessment of the quality of a country's policies and stipulate the actions needed to address shortcomings. A country's potential access to IMF credits should be linked to the quality of its policies in noncrisis periods in order to create stronger incentives for better policies and reduce incentives for capital to flow where it cannot be used in socially beneficial ways.
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Cover IMF Working Papers
IMF Working Papers
ISSN:
1018-5941
Publisher:
International Monetary Fund
Volume 2005: Issue 206