by Dr. Eliot Kalter
Dr. Eliot Kalter’s Presentation in October, 2011 outlines the implications of surging capital inflows and the difficult policy choices they present to sovereign investors in the Latin American Andean region.
Table of Contents:
I. Capital Inflows Have Reached Pre‐Crisis Levels in Latin America
II. Strong Capital Inflows, High Real Exchange Rates and Fast Credit Growth
III. Surge in Capital Inflows Requires Difficult Policy Choices to Reduce Risks
IV. Exploring the Current Policy Mix to Curb Currency Appreciation: Where Are We Now?
V. Should Investors Be Concerned about Wrong Policy Choices?
VI. The Bottom Line