Financial Stability Review
Risk Assessment Articles
1999
2005 2004 2003 2002 2001 2000 1999 1998 1997
Improving
the Stability of the International Financial System
(56k)
(Issue 6, June 1999)
An article in the previous Financial Stability Review outlined the financial and economic background to some of the issues under discussion on strengthening the international financial architecture. The debate was stimulated partly by the financial crises in a number of emerging market countries over the previous two years: crises which revealed serious flaws in macroeconomic management but also, just as important, in the structure and regulation of financial markets in both debtor and creditor countries. This article provides an overview of the work undertaken by the international community since the last FSR.
Credit
Risk Modelling
(365k)
(Issue 6, June 1999)
Will
Bank Recapitalisation Boost Domestic Demand in Japan?
(208k)
(Issue 6, June 1999)
Following four decades of unprecedented economic expansion, Japan has experienced sluggish growth in GDP and domestic demand since the early 1990s, with a marked decline in asset prices and the near elimination of measured price inflation. The weak economic situation has been accompanied by a slowdown in the growth of bank lending to the private sector. The economy has deteriorated further since the end of 1997. Indeed, since then, both output and bank lending have been contracting (see Table 1). This pattern has raised the question of whether the slowdown in bank lending is attributable to a lower supply of credit, reflecting either the banks concerns over credit quality or tighter constraints on how much banks can lend, or lower demand, due to the weakening of the real economy.
Key Resources
|
Memorandum of Understanding between HM Treasury,
the Bank of England and the Financial Services Authority
Download PDF (50k) |
