How should the Inter-American Development Bank (IDB) respond to the challenges of the new century? As recently as the early 1990s, governments and policymakers in Latin America and the Caribbean relied on the IDB and other multilateral institutions not only as important sources of finance but...

This paper argues that there were two key factors behind the resilience of Latin American financial systems during the crisis. The first was the initial conditions that a number of countries in the region faced during the pre-crisis years. Sound macroeconomic policies and highly improved...

Emerging market economies have undergone an extraordinary period of turbulence in capital markets during the period 1997–2002, and volatility remains a salient feature of the financial landscape.This paper discusses a number of central issues for the future of the region's financial markets....