Under monetary union, economic dynamics may diverge across countries due to regional inflation differentials and a pro-cyclical real interest rate channel, yet stability is generally ensured through endogenous adjustment of the real exchange rate. The speed of adjustment depends, inter alia, on...

This paper analyses the effects of the COVID-19 pandemic shock on small open economies in a monetary union with an application to the euro area. Accounting for a high degree of openness and a strong dependence on intra and extra union trade, we focus on the size and the direction of...

The recent Global Crisis are posing challenges to the stability of the European Monetary Integration process. The pillar of the European Monetary Integration is the evolution of the European Monetary Union (EMU). Being the EMU the establishment of a currency union, such as international...

This paper explores the macroeconomic implications of the COVID-19 pandemic in the WAMZ and discusses measures that could be employed to mitigate the adverse economic effects of the pandemic to preserve the gains already achieved towards regional integration. It identifies the channels through...

The increasing uncertainties about the evolving pattern of the novel COVID-19 virus in the absence of a vaccine and the dampening economic effects associated with the containment measures, which have triggered a sharp fall in global commodity prices have raised concerns among policymakers in the...