scholarly journals Monetary Policy Challenges in Emerging Markets: Sudden Stop, Liability Dollarization, and Lender of Last Resort

2006 ◽  
Author(s):  
Guillermo A. Calvo
Keyword(s):  
Monetary Policy ◽  
Emerging Markets ◽  
Sudden Stop ◽  
Lender Of Last Resort ◽  
Liability Dollarization

scholarly journals ECB policy responses between 2007 and 2014: A chronological analysis and an assessment of their effects

2016 ◽  
Vol 63 (4) ◽  
pp. 455-473 ◽  
Author(s):  
Carlos Rodríguez ◽  
Carlos Carrasco
Keyword(s):  
Monetary Policy ◽  
Central Bank ◽  
Interest Rates ◽  
Sovereign Debt ◽  
Global Financial Crisis ◽  
Debt Crisis ◽  
Lender Of Last Resort ◽  
Policy Responses ◽  
The One ◽  
The Global Financial Crisis

The paper analyses the monetary policy responses of the European Central Bank (ECB) to the global financial crisis and the European sovereign debt crisis. Our goals are on the one hand to explain chronologically the main measures in conventional and unconventional policies adopted by the ECB and on the other hand to analyse their effects on key interest rates, monetary aggregates and the money multiplier. The assessment is that the ECB?s monetary policy responses to the crisis have been ?too little, too late?, constrained by the institutional framework, which prevents the ECB from acting as a true central bank with the role of lender of last resort.

scholarly journals Spillovers from United States Monetary Policy on Emerging Markets: Different This Time?

2014 ◽  
Vol 14 (240) ◽  
pp. 1 ◽  
Author(s):  
Jiaqian Chen ◽  
Tommaso Mancini Griffoli ◽  
Ratna Sahay ◽  
◽  
◽  
...  
Keyword(s):  
United States ◽  
Monetary Policy ◽  
Emerging Markets

Qard-al-Hasan-based monetary policy and the role of the central bank as the lender of last resort

2020 ◽  
Vol 11 (2) ◽  
pp. 326-345 ◽  
Author(s):  
Mohammad Selim ◽  
M. Kabir Hassan
Keyword(s):  
Monetary Policy ◽  
Central Bank ◽  
Design Methodology ◽  
Equal Opportunities ◽  
Lender Of Last Resort ◽  
Content Type ◽  
Playing Field ◽  
Fair Competition ◽  
Real Gdp

Purpose This paper aims to examine how a central bank (CB) can act as a lender of last resort (LOLR) for both Islamic and conventional interest-based banks by pursuing a Qard-al-Hasan (QH)-based monetary policy (MP). Design/methodology/approach The role of the CB as LOLR under QH-based MP and its effects on major macroeconomic variables, including deposits, loan creation and aggregate expenditures, are examined on theoretical grounds by using the aggregate output and aggregate expenditure model under the framework of Islamic MP. Findings When the CB acts as LOLR by pursuing QH-based MP, it automatically empowers Islamic banks (IBs) by providing access to borrowing funds from the CB on a QH basis. As a result, IBs will not be required to hold billions of dollars as liquid assets against liquidity risks. Thus, the lending capacity of IBs will increase and deposit expansion, loan creation and aggregate expenditures in the economy will all expand. This will in turn increase real GDP and employment while reducing the unemployment rate. Originality/value This is the first paper to analyze CBs acting as LOLR for both IBs and conventional interest-based banks by pursuing a QH-based MP, thus providing equal opportunities and equal access to borrowing facilities from the CB, along with equal partnership and fair competition for all and absolutely no discrimination to anyone. The LOLR service to all banks under QH-based MP will unveil a new horizon of opportunities where all financial institutions are expected to thrive. IBs will escape the constraints of the constant fear of liquidity risks and find a level-playing field.

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