China’s trade impact on Latin America is positive via an export boom and indirectly better terms of trade. Its emergence is also a wake up call for the region: more reforms are needed, especially in infrastructure, in order to maintain Latin America’s comparative advantage. The Chinese...

Latin American Countries vary widely in their institutional capacity to conduct economic policy analysis. Capacity for policy analysis is a necessary condition for economic reform but capacity for implementation is also needed. The point of contact between these two capacities - to analyse and...

Risk-based public debt management and liquid domestic bond markets are important mutually reinforcing strategies for emerging financial markets and developing countries in general.

Bond financing has replaced bank loans and other sources of capital flows as a major source of funding for emerging markets. This shift has been particularly impressive in Latin America. Disentangling the dynamics of emerging bond markets and the information flow about them has attracted the...

Fast-growing African countries are attracting private equity and risk capital as never before. The conditions attracting private investors are likely to improve.

• Despite post-Monterrey donor initiatives, the Millennium Development Goals (MDGs) are underfinanced. • The revenue potential, the additionality and the speed of availability of new finance sources, and their political feasibility, are of particular importance. • On these criteria, it is...

Sovereign wealth funds have become important players in global financial markets. But their investments have repeatedly raised concerns, such as fear of industrial espionage or geopolitical threats. This paper argues that the principal motivation for setting up SWFs should put such concerns into...

Suppose a DAC donor earmarks $1 billion of taxpayers’ money for official development assistance (ODA). The donor may use two instruments as an outright grant or in combination with a market loan to produce a concessional loan of $2 billion with a percentage grant element of 50 per cent. Many...

• Advanced developing countries are increasingly encouraged to remove existing capital controls, but mixed experiences with capital account opening caution that reform must be carefully designed to increase efficiency and growth without compromising stability • A gradual dismantling of...

• The unprecedented withdrawal of foreign private capital from Asia, more than 10 per cent of GDP in the crisis countries, confronts them with a transfer problem. Creditor governments should induce their home banks into financial rescue operations to reduce moral hazard in private-sector...