Sovereign Wealth Funds and Global Imbalances - speech by John Gieve

In a speech at the Sovereign Wealth Management conference, John Gieve - Deputy Governor of the Bank of England - discusses how sovereign wealth funds have become so prominent, how this relates to imbalances in the world economy, and draws out some policy implications.
Published on 14 March 2008

He notes that: "Since the millennium at least 10 new SWFs have been set up." "This reflects the remarkable shift of emerging-market economies from debtors to creditors". In part this reflects persuasive reasons for exporters of oil and other non renewable resources "to spread the benefits of this endowment across generations" but in other countries it reflects "a deliberate policy of fostering export industrial growth" and building up foreign exchange reserves.

PDFPress release

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