Heightened volatility in cross-border capital flows has increased exchange rate volatility across emerging markets as well as in advanced economies, setting the stage for more active management of currencies. Traditionally, foreign exchange rate intervention has been the primary tool to address...

Financial deepening and increases in the private sector's credit-to-output ratio are expected to strengthen the monetary policy transmission mechanism in Turkey. However, shifts in the structure and composition of financial intermediation are also important for the transmission mechanism. From...