Exchange Rate Policy and Monetary Strategy Options in the Philippines: The Search for Stability and Sustainability
IMF Policy Discussion Papers, May 1, 1997
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- Exchange Rate Policy and Monetary Strategy Options in the Philippines: The Search for Stability and Sustainability
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Bibliographic details
- Authors: Aerdt G. F. J. Houben
- Published: May 1, 1997
- Series: IMF Policy Discussion Papers
- DOI: https://doi.org/10.5089/9781451973341.003
Evaluation of exchange regimes (since 1970)
- The paper evaluates the Philippines’ experience with different exchange regimes since 1970.
- Key assessment: the shift to a flexible regime was crucial to restoring external viability and generating an export-led economic take-off.
- Identified problem: mixed performance in meeting money targets and asymmetric policy reactions to exchange rate pressures.
Inflation performance and monetary policy challenges
- Uneven inflation performance is linked to:
- Mixed performance in meeting money targets.
- Asymmetric policy reactions to exchange rate pressures.
- Conclusion: adoption of a firm nominal anchor for monetary policy would contribute to more effective control of inflation and better prospects for sustained growth.
Monetary strategy options reviewed
- The paper reviews the merits of three monetary strategy options:
- Stricter adherence to a money supply rule.
- Adoption of an exchange rate peg.
- A switch to direct inflation targeting.
Key statistics and publication identifiers
- Pages: 36
- Volume: 1997
- Issue: 004
- Series: Policy Discussion Paper No. 1997/004
- DOI: https://doi.org/10.5089/9781451973341.003
- Stock No: PPIEA0041997
- ISBN: 9781451973341
- ISSN: 1564-5193
- Author: Aerdt G. F. J. Houben
- Publication date: May 1, 1997
Source: Exchange Rate Policy and Monetary Strategy Options in the Philippines: The Search for Stability and Sustainability (IMF Policy Discussion Papers).
Content in this bundle
- _ppaa9704