Posts Tagged ‘International’

If you are reviewing developments and trends in the international capital markets and banking systems around the globe there are two important recent policy challenges that you should be thinking about.

  • One is the implications and consequences of European Economic and Monetary Union for both international capital markets and the management of external liabilities of emerging market countries, especially those in Eastern Europe.
  • The other key development in the international capital markets is the steady depreciation of the dollar, owing mainly to a huge balance of trade deficit as well as to large government defense expenditure, mostly in Iraq. Hurricane Katrina and the resulting economic damage will not help either. This weak dollar is despite the relatively strong performance of the United States economy Europe and Japan.

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