Central Banking in Latin America: The Way Forward

Author/Editor:

Yan Carriere-Swallow ; Luis Ignacio Jácome ; Nicolas E Magud ; Alejandro M. Werner

Publication Date:

September 30, 2016

Electronic Access:

Free Download. Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

Latin America’s central banks have made substantial progress towards delivering an environment of price stability that is supportive of sustainable economic growth. We review these achievements, and discuss remaining challenges facing central banking in the region. Where inflation remains high and volatile, achieving durable price stability will require making central banks more independent. Where inflation targeting regimes are well-established, remaining challenges surround assessments of economic slack, the communication of monetary policy, and clarifying the role of the exchange rate. Finally, macroprudential policies must be coordinated with existing objectives, and care taken to preserve the primacy of price stability.

Series:

Working Paper No. 2016/197

Subject:

Banking Central bank autonomy Central banks Exchange rates Financial sector policy and analysis Financial sector stability Foreign exchange Foreign exchange intervention Inflation Prices

English

Publication Date:

September 30, 2016

ISBN/ISSN:

9781475543353/1018-5941

Stock No:

WPIEA2016197

Pages:

43

Please address any questions about this title to publications@imf.org