Dedollarization
Electronic Access:
Free Download. Use the free Adobe Acrobat Reader to view this PDF file
Summary:
This paper provides a summary of the key policies that encourage dedollarization. It focuses on cases in which the authorities’ intention is to gain greater control of monetary policy and draws on the experiences of countries that have successfully dedollarized. Unlike previous work on the subject, this paper examines both macroeconomic stabilization policies and microeconomic measures, such as prudential regulation of the financial system. This study is also the first attempt to make extensive use of the foreign exchange regulation data reported in the IMF’s Annual Report on Exchange Arrangements and Exchange Restrictions. The main conclusion is that durable dedollarization depends on a credible disinflation plan and specific microeconomic measures.
Series:
Working Paper No. 2010/188
Subject:
Currencies Dollarization Exchange rates Fiscal stabilization Foreign exchange
English
Publication Date:
August 1, 2010
ISBN/ISSN:
9781455202225/1018-5941
Stock No:
WPIEA2010188
Pages:
50
Please address any questions about this title to publications@imf.org