Occasional Papers

Financial Stability in Dollarized Economies

Author/Editor:

Anne Marie Gulde ; David S. Hoelscher ; Alain Ize ; Dewitt D Marston ; Gianni De Nicolo

Publication Date:

June 15, 2004

Electronic Access:

Link to Abstract

Summary:

This paper addresses the challenges to prudential supervision in highly dollarized economies, where central banks and supervisors may be constrained in the use of standard money and financial policy tools. The study’s conclusions are the basis of an ongoing policy dialogue with IMF member countries, standard-setters in the financial area, and academia. The paper is part of the policy development work conducted by the IMF’s Monetary and Financial Systems Department.

Series:

Occasional Paper No. 230

Subject:

Dollarization Financial stability