A common legacy of banking crises is a large increase in government debt, as fiscal resources are used to shore up the … banking system. Do crisis response strategies that commit more fiscal resources lower the economic costs of crises? Based on … evidence from a sample of 40 banking crises we find that the answer is negative. In fact, policies that are riskier for the …

accumulated during the boom has led to a sharp economic contraction. Capital inflows came to a halt in late 2008 and reversed in …

missed. The authorities and IMF staff have agreed that a faster pace of fiscal adjustment and more gradual pace of capital …

burdens with large exposures to foreign exchange and inflation risk. The global banking crisis exposed Icelandâ …

impaired financial intermediation is the culprit. Creditless recoveries are more common after banking crises and credit booms …Recoveries that occur in the absence of credit growth are often dubbed miracles and named after mythical creatures. Yet …

developments, policy discussions, and structural reforms. A larger external current account surplus, together with strong capital …

). Successful implementation of fiscal adjustment, effective use of capital controls, and financial sector restructuring have …

The global financial crisis led to an abrupt halt in credit growth, exposed underlying vulnerabilities in the banking … accompanied by full assessment of recapitalization needs and improvements in the regulatory and supervisory frameworks. Directors …