This paper compares Hungary’s experience with sterilization with that of other capital inflow episodes. The study focuses on the short-run impact of sterilization on monetary policy. The empirical data indicate that sterilized interventions by the National Bank of Hungary (NBH) were not...

Transitional economies adopted different exchange rates at the beginning of the transition to a market economy and Hungary, in particular, went through a number of changes in this area. In particular, Hungary can be said to have targeted the real exchange rate and, given recent interest in the...

This paper evaluates Hungary's dilemma with sterilization in the context of the record of countries that have experienced similar capital inflow episodes, e.g., Latin America and Asia. The study focuses on the short-run impact of sterilization on monetary policy. The empirical results indicate...