Review of Facilities for Low-Income Countries : Supplement 1.

This supplement aims to assess the economic impact of the Fund's support through its facilities for low-income countries (LICs). It relies on two complementary econometric analyses: the first investigates the longer-term impact of Fund engagement-primarily through successive medium-term program...

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Ente Autore: International Monetary Fund
Natura: Periodico
Lingua:English
Pubblicazione: Washington, D.C. : International Monetary Fund, 2012.
Serie:Policy Papers; Policy Paper ; No. 2012/059
Accesso online:Full text available on IMF
Descrizione
Riassunto:This supplement aims to assess the economic impact of the Fund's support through its facilities for low-income countries (LICs). It relies on two complementary econometric analyses: the first investigates the longer-term impact of Fund engagement-primarily through successive medium-term programs under the Extended Credit Facility (ECF) and its predecessors (and more recently the Policy Support Instrument (PSI))-on economic growth and a range of other indicators and socio-economic outcomes; the second focuses on the role of IMF shock-related financing-through augmentations of ECF arrangements and short-term and emergency financing instruments-on short-term macroeconomic performance. The empirical results shed some light on two channels through which different Fund facilities may have helped LICs respond to the global financial crisis-(i) by supporting a gradual buildup of macroeconomic buffers in the decades prior to the crisis and (ii) by providing liquidity support at the height of the crisis. The combination of strong pre-crisis buffers and crisis financing allowed LICs to pursue counter-cyclical policy responses that preserved spending and facilitated a rapid recovery.
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Descrizione fisica:1 online resource (37 pages)
Natura:Mode of access: Internet
ISSN:2663-3493
Accesso:Electronic access restricted to authorized BRAC University faculty, staff and students