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Eligibility Assessment of the Bank of Slovenia’s Adjustment Policy to Surges in Capital Flows

Žan Oplotnik ; Economic Institute of the Law School, Ljubljana, Slovenia


Puni tekst: engleski pdf 218 Kb

str. 83-102

preuzimanja: 338

citiraj


Sažetak

The assessment of the Slovenian central bank, the Bank of Slovenia (BS), adjustment policy to surges in capital flows has shown that BS was quite successful in its attempts to mitigate detrimental effects of capital flows on national economy. As such an increased flows through capital account did not cause the excessive money supply. The latter meets money demand and current account most of the time. On the other side, analysis indicates that the BS was not so successful in preventing real appreciation of exchange rate, deriving from excessive foreign currency inflow, which had a rather strong significance as one of the foreign exchange determinants with negative influence on its growth (depreciation). In addition to indirect adjustment methods the so-called direct methods of adjustment to surges in capital flows were also used. Specially those with the intention to reduce foreign debt flows as foreign exchange minimum, open foreign exchange position, custody accounts, restrictions on borrowing abroad, etc.

Ključne riječi

appreciation; capital controls; capital flows; foreign exchange

Hrčak ID:

35603

URI

https://hrcak.srce.hr/35603

Datum izdavanja:

1.7.2003.

Posjeta: 988 *