Central Banking in Latin America: The Way Forward

44 Pages Posted: 9 Dec 2016

See all articles by Yan Carriere-Swallow

Yan Carriere-Swallow

International Monetary Fund (IMF)

Luis I Jácome

International Monetary Fund (IMF)

Nicolás E. Magud

International Monetary Fund (IMF)

Alejandro M. Werner

International Monetary Fund (IMF)

Date Written: September 2016

Abstract

Latin America's central banks have made substantial progress towards delivering an environment of price stability that is supportive of sustainable economic growth. We review these achievements, and discuss remaining challenges facing central banking in the region. Where inflation remains high and volatile, achieving durable price stability will require making central banks more independent. Where inflation targeting regimes are well-established, remaining challenges surround assessments of economic slack, the communication of monetary policy, and clarifying the role of the exchange rate. Finally, macroprudential policies must be coordinated with existing objectives, and care taken to preserve the primacy of price stability.

Keywords: Central banking, Latin America, Central banks, Central bank autonomy, Monetary policy, Inflation targeting, Exchange markets, Intervention, Price stabilization, Macroprudential Policy, Financial stability, Central Banking, Monetary Policy, Macroprudential Policy, Latin America.

JEL Classification: E58

Suggested Citation

Carriere-Swallow, Yan and Jácome, Luis I and Magud, Nicolas E. and Werner, Alejandro M., Central Banking in Latin America: The Way Forward (September 2016). IMF Working Paper No. 16/197, Available at SSRN: https://ssrn.com/abstract=2882634

Yan Carriere-Swallow (Contact Author)

International Monetary Fund (IMF) ( email )

700 19th Street, N.W.
Washington, DC 20431
United States

Luis I Jácome

International Monetary Fund (IMF) ( email )

700 19th Street NW
Washington, DC 20431
United States

Nicolas E. Magud

International Monetary Fund (IMF) ( email )

700 19th Street, N.W.
Washington, DC 20431
United States

Alejandro M. Werner

International Monetary Fund (IMF) ( email )

700 19th Street NW
Washington, DC 20431
United States

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
49
Abstract Views
301
PlumX Metrics