After almost four decades of price stability, inflation has recently approached historical highs. Initially driven by global energy and food price increases, the magnitude of the surge in inflation caught central banks and markets by surprise. Price pressures are now increasingly broadening to...

In 2022, the European Central Bank (ECB) introduced the Transmission ProtectionInstrument (TPI) to counter the risk of financial fragmentation following the normalisation ofmonetary policy. The ECB has specified conditions under which the TPI can be activated.This paper examines these conditions...

This study assesses macroeconomic volatility in Costa Rica, based largely on politically weak governments' inability or unwillingness to effect key reforms. Notable problems include volatility-prone fiscal and monetary policy, structurally weak public finances due to large domestic debts and...

This paper focuses on the design of successful bank restructuring programs in Latin America, a region where banking crises have been frequent in the past two decades. In each episode, Latin American policymakers have had to act under the severe constraints imposed on developing countries, which...

In recent years, and especially in the aftermath of the global financial crisis, a number of emerging market economies have been reforming their regulatory frameworks to adopt recommendations of the macroprudential approach. This paper discusses the potential usefulness of implementing this...

Revitalizing the Jamaican Economy: Policies for Sustained Growth aims to improve our understanding of the constraints to social and economic development in Jamaica. It also proposes practical solutions to overcome some of those problems. This book is a collection of studies commissioned by the...