scholarly journals Foreign Exchange Reserves as a Shock Protection – the Example of Bosnia and Herzegovina

2018 ◽  
Vol 15 (27) ◽  
Author(s):  
Tijana Šoja ◽  
Zumreta Galijašević
Keyword(s):  
Financial Crisis ◽  
Foreign Exchange ◽  
Bosnia And Herzegovina ◽  
Global Financial Crisis ◽  
Comparative Method ◽  
Foreign Exchange Reserves ◽  
Adequate Level ◽  
Shock Protection ◽  
The Global Financial Crisis

Significant increase in foreign exchange reserves in recent decades, including the period of the global financial crisis of 2008 and 2009, has intensified research on the importance and role of foreign exchange reserves and their adequate level. Although the financial crisis has emphasised the importance of maintaining an adequate level of foreign exchange reserves, there is insufficient consensus on the level of foreign exchange reserves that should be maintained in the event of crises and shocks.This paper explores foreign exchange reserves of Bosnia and Herzegovina and their adequate level over the period from 2005 to 2015 as well as in the event of a shock which can be generated by internal or external factors.The aim of this paper is to examine whether foreign exchange reserves of Bosnia and Herzegovina were sufficient in the observed period as well as in the event of shocks that national economy could be exposed to.For the research purposes, comparative method and the application of sensitivity analysis and scenarios were used to analyse and evaluate the adequacy of foreign exchange reserves of Bosnia and Herzegovina. The final results demonstrate thatduring the observed period foreign exchange reserves of Bosnia and Herzegovinawere adequate. However, in the case of extreme shocks Bosnia and Herzegovinadoes not possess the sufficient level of foreign exchange reserves. Such findings recommendto the Central Bank of Bosnia and Herzegovina, together with other economicpolicies, additional efforts to accumulate foreign exchange reserves in themedium term.

Transparency Regulation in Financial Markets – Moving into the Surveillance Age?

2011 ◽  
Vol 2 (3) ◽  
pp. 305-321
Author(s):  
Iris H-Y Chiu
Keyword(s):  
Financial Crisis ◽  
Financial Markets ◽  
Financial Regulation ◽  
Global Financial Crisis ◽  
Financial Sector ◽  
Regulatory Control ◽  
Legal Reforms ◽  
The Global Financial Crisis ◽  
Risk Oversight

In the wake of the global financial crisis, the trajectory of legal reforms is likely to turn towards more transparency regulation. This article argues that transparency regulation will take on a new role of surveillance as intelligence and data mining expand in the wholesale financial sector, supporting the creation of designated systemic risk oversight regulators.The role of market discipline, which has been acknowledged to be weak leading up to the financial crisis, is likely to be eclipsed by a more technocratic governance in the financial sector. In this article, however, concerns are raised about the expansion of technocratic surveillance and whether financial sector participants would internalise the discipline of regulatory control. Certain endemic features of the financial sector will pose challenges for financial regulation even in the surveillance age.

The impact of the global financial crisis on Millennium Development Goal attainment in Africa

2017 ◽  
Author(s):  
Leah McMillan Polonenko
Keyword(s):  
Financial Crisis ◽  
Goal Attainment ◽  
Global Financial Crisis ◽  
Adequate Funding ◽  
Development Goals ◽  
Education In Ghana ◽  
The Global Financial Crisis ◽  
The Impact ◽  
Global Initiatives

This chapter examines the challenges involved in attaining the Millennium Development Goals (MDGs) in Africa in the wake of the 2008 global financial crisis and highlights important lessons for future financing of global initiatives. The 2008 global financial crisis provided a very important caution: global initiatives are only as good as their global conditions. The crisis had very real consequences for the education sector, particularly through the reduction of adequate funding. The chapter first considers the consequences of the global financial crisis to education, taking into account the role of foreign aid, before discussing the cases of primary education in Ghana and Zimbabwe. It concludes by suggesting some best practices for learning from the failures to education from the 2008 agenda.

Assessing Reserve Adequacy

Policy Papers ◽  
2011 ◽  
Vol 2011 (8) ◽  
Author(s):  
Keyword(s):  
Financial Crisis ◽  
Global Financial Crisis ◽  
Upward Trend ◽  
Perceived Needs ◽  
The Past ◽  
Adequate Level ◽  
The Global Financial Crisis

The dramatic increase in reserves holdings over the past decade has resumed since the global financial crisis, even at an accelerated pace. While the crisis has heightened perceptions of the importance of holding adequate reserves, there is little consensus on what constitutes an adequate level from a precautionary perspective: traditional metrics are narrowly-based and often provide conflicting signals; while newer approaches tend to be hostage to stylized modeling assumptions and calibrations. As a result, assessments tend to rely on comparisons with peers, probably amplifying the upward trend as perceived needs rise in line with actual holdings.

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