capital inflows

With large capital inflows and a current account surplus, China's foreign exchange reserves have continued to rise rapidly.

"It could also be an attempt to stave off speculative capital inflows by showing that renminbi appreciation is not a one-way bet. "

Net private capital inflows into America seem to have evaporated since the credit turmoil began.

Export growth, plus an increase in private capital inflows from abroad, would raise their capacity to import by close to 9 percent a year.

Even with an appreciation of about 20 per cent over these three years, capital inflows continued and pressures to appreciate did not fade.

To understand this, consider three important factors - agriculture production, commodity prices and capital inflows.

In an ideal world, these capital inflows would be channelled into financing the infrastructure and productive resources in emerging states.

Current account deficits ballooned, with capital inflows accelerating up to the eve of the crisis.

However, the discipline of fiscal and monetary policies is still decisive on whether the capital inflows can contribute to economic growth.

However, capital inflows into China in anticipation of further appreciation of the renminbi account for a large share of this increase.

Second, another pivotal measure is to hedge against the total amount of capital inflows.

Current account surpluses, capital inflows and concerns over export competitiveness complicate monetary policymaking across the region.

That customer funding gap had been made possible by capital inflows from around the world, which have now more or less dried up.

Now that foreigners are again flocking to India's stockmarket (see chart), capital inflows are once more playing on the RBI's mind.

Episodes of large-scale capital inflows from the former to the latter ended up in crises.

The domestic adjustment effort will have to be supported by additional capital inflows and growing export markets.

As the trade balance for the same period was basically zero, capital inflows must have been the cause.

Weak commodity prices could push the region into running a large current-account deficit, just as private-capital inflows decline sharply.

These countries are unlikely soon to see a resurgence of net capital inflows.

Not the least of the distortions of the current regime is the need to keep interest rates low, to curb capital inflows.

After all, we are able to take some management measures to keep the abnormal capital inflows from taking a detour when it actually happens.

Export earnings have fallen at a time when private capital inflows and domestic savings have slumped.

But the combination of capital inflows and low productivity hints at wasteful investments and a lurking bad-debt problem.

Capital inflows into Asian stock markets jumped last month as investors sought to take advantage of the region's high economic growth rate.

The Contingent-Markets Department should be in charge of all sources of capital inflows volatility that are potentially contractible.

China's ability to sterilize capital inflows is increasingly limited and harmful to its banking sector.

He said that Asia, which is leading the rebound, risked seeing asset bubbles fuelled by capital inflows.

While deregulation takes effect immediately, capital inflows are expected to be limited in the near term.

Measures taken thus far, however, have been aimed at slowing and controlling massive capital inflows, not staunching them completely.

Inflation was under control and China would suffer less than other emerging economies from capital inflows.

Expectations are growing stronger for yuan appreciation and international capital inflows are likely to move faster.

Several emerging market countries have been restricting capital inflows or intervening in currency markets.

Over the past year, countries including Brazil, China, Ecuador, Venezuela and Ukraine have tried to slow capital inflows.

When investment opportunities are scarce, capital inflows simply displace domestic savings and encourage consumption.

To a large extent, this measure can hedge against the impacts abnormal capital inflows have on China's macro economy.

The international practice shows that the composition of capital Inflows greatly influences a country's financial stability.

The new IMF view is summarized in an official paper published last month, "Capital Inflows: The Role of Controls. "

Traders said they expect the central bank to sell more short-term debt in the coming weeks as it moves to mop up capital inflows.

Many developing economies have experienced a flood of capital inflows, leading to an overheated investment climate and piles of reserves.

The rate hike might widen the differential between China and global market rates and hence attract more capital inflows.

Though the Singapore Exchange has benefited from growing Asian capital inflows, others have made greater strides.

That could be intended to counter the impact of capital inflows unleashed by a strengthening currency.

First, it is more exposed to the global credit crunch as a result of its previous reliance on large capital inflows.

in the present environment, it made little sense for China to be experiencing a wave of footloose capital inflows.

Nevertheless, a large deficit does mean that an economy and its currency may struggle if foreign-capital inflows suddenly dry up.

Easy money came from global macroeconomic imbalances that generated enormous capital inflows into deficit countries.

The capital inflows or outflows are usually called capital transactions of both long term and short term.

However, one of the risks of raising rates is that it provides even stronger encouragement for capital inflows.

Inflationary pressures are being fuelled by capital inflows, but higher rates run the risk of attracting even more capital into the country.

This means its basic balance of payments, which includes capital inflows, is much stronger even than its recently improved current account.

These advances, combined with low interest rates in all developed economies, have resulted in increased capital inflows to emerging markets.

Another interaction comes via capital inflows and consequent upward pressure on exchange-rates in emerging countries.

Concerns about the impact of financial capital inflows are overdone and are no good reason not to increase interest rates.

The country had become an international debtor for the first time and was increasingly dependent on European and Japanese capital inflows.

Driven partly by these concerns, Thailand took the dramatic step of introducing controls on capital inflows last December.

The economies of grasshopper colonies, in turn, come to depend on unsustainable capital inflows and excessive consumption.

A euroised country can only expand its money supply through more exports or capital inflows.

Central banks and regulators in emerging economies have already imposed a host of measures to cool property prices and capital inflows.

Just like the stock market, any good news will lead to the rolling capital inflows.

Some central banks, concerned about the hot money driving up their currencies, as in Brazil, are imposing controls on capital inflows.

These huge official interventions prevent the emergence of large net capital inflows into emerging countries.

Third, the trade and capital opening policy may produce positive results in the employment in the sectors of exports and capital inflows.

Maintaining a currency peg in the face of massive capital inflows is extremely difficult.

Britain's deficit in manufactured goods is hitting record highs. But so are the capital inflows.

In recent weeks, numerous Chinese officials have said that policy threatens to spur inflation and capital inflows to emerging economies.

They begin with capital inflows from foreigners seduced by tales of an economic El Dorado.

From 2005, as the dollar weakened and policy rates rose, capital inflows provided a notable offset to the thrust of US policy.

Several emerging economies will reintroduce or strengthen controls on capital inflows.

Capital inflows picked up too, though they were already running at an alarmingly high level.

Whether a current account deficit is unsustainable depends on the type of and the reason for capital inflows.

A pre-ordained nominal appreciation of three to six per cent annually only encourages speculative capital inflows.

China needs to reduce the incentive for destabilising capital inflows, rather than block the channels.

But this encouraged investors to bet on future appreciation, exacerbating capital inflows.

It also demonstrates the extent of pressure on Beijing both to offset surging capital inflows and to cool the domestic stock market bubble.

Emerging economies are seeing large capital inflows and face mounting inflationary risks.

Capital inflows from outside Brazil have soared as investors flee record-low rates in more developed countries.

The IMF also rightly picks out global imbalances and the management of capital inflows into emerging economies as sources of risk.

But then the financial crisis struck, freezing capital inflows as international credit dried up.

Over that period, capital inflows to emerging markets have grown twice as fast as inflows to developed countries.

Capital inflows will also tend to increase the international value of the dollar, making it more difficult to sell US exports.

Some other emerging markets are dealing with dangers from capital inflows that are too rapid.

The Greek crisis caused a sharp drop in private capital inflows, as investors worried about insolvency.

More likely, the move relates to the speculative capital inflows pouring into the country.

On Tuesday Seoul said it would introduce tools for curbing capital inflows.

Brazil is increasing the tax on money flooding into its bonds. South Korea cited the need to check speculative foreign capital inflows.

"We are worried that capital inflows will amplify our problems, will derail our monetary policy, " Belka said on Saturday.

Double-digit growth in Latvia, Lithuania and Estonia was fueled by debt and short-term capital inflows.

Because of Treasuries' status as a safe haven, the US government has benefited from capital inflows during moments of geopolitical stress.

Her government is likely to continue to battle the real's rise with further measures to restrict capital inflows.

Brazil used the guerrilla tactic of doubling taxes on capital inflows to stop the real surging.

Asia has experienced three major episodes of capital inflows over the past few decades--the early 1990s, the early 2000s, and today.

Chile was trying to deter short-term capital inflows in the early 1990s, for example.

Capital inflows to emerging economies have turned into capital outflows.

In the coming year China will likely have to absorb even more capital inflows .

'Such big capital inflows have put huge pressures on the central bank, ' the SAFE official said.

Tightened some capital inflows and loosened some capital outflows.

Large capital inflows continue to complicate the conduct of monetary policy.

The global financial crisis caused an immediate cessation in the capital inflows.

A slowing economy has also reduced the need to curb foreign capital inflows that were putting upward pressure on the yuan.

In China, large capital inflows are a worry for officials, who have been working to keep them from adding to growing inflationary pressures.

The central bank has strengthened controls on capital inflows.

Brazil, which has seen its currency rise 45% since February, has put a 2% tax on capital inflows.

Normal trade-related capital inflows , for example, may include some hot money, he said.

But the interest payments on domestic bonds issued to mop up capital inflows can have a heavy fiscal cost.

Part of the reason is that capital inflows have gone mainly to finance its persistent current-account deficit.

The credit crisis of 2008-09 has given a bad name to open capital inflows.

Capital inflows from abroad and sharp increases in the world prices of key exports also cause the real exchange rate to appreciate.

The nature of the capital inflows financing a deficit also matters.

Vast capital inflows can harm economies in several ways.

In all of them vast current-account deficits were financed by huge capital inflows.

Growth booms based on capital inflows or commodity booms have typically been shortlived.

Many are wary of capital inflows, having been hit by their reversal in the past.

Capital inflows into the region are falling because of increased risk aversion .

A more immediate concern is that capital inflows will fuel inflation.

Modest controls on capital inflows are one way to keep such speculators in check.

Traditional monetary-policy tools--such as the interest rate--are harder to use because of the risk of attracting even more capital inflows.

Hence Brazil's new tax on capital inflows.

The nature of capital inflows also matters.

Nor is it certain that opening the capital account would mean a weaker rupee. It might even attract more capital inflows.

The government last month imposed a tax on short-term capital inflows.

Officials in emerging markets say the capital inflows they are seeing mean they can't wait for international accords.

Yet that has not prevented a record flood of capital inflows even higher than China's huge accumulation of reserves in recent years.

"The upshot is that speculative capital inflows have dried up, but not yet reversed, " Mr Simpfendorfer wrote in a research note.

Indonesia, for example, saw very strong capital inflows long before quantitative easing was dreamed of outside Japan.

These risks would cut export revenues and capital inflows for developing countries, and reduce the value of their dollar-investments abroad.

The snag is that bond sales will tend to push up interest rates and so attract yet more capital inflows.

On the other hand, a rate increase to ward off inflation has the potential to increase capital inflows, adding to the dilemma.

But how is this to be achieved without triggering destabilizing capital inflows?

Only Thailand has seen large net capital inflows and last year it ran into trouble.

a warning over the potential for "massive" capital inflows from developed nations to destabilize emerging economies;

An Analysis of the Co - existence on the high amount of Domestic Deposits and Vast Foreign Capital Inflows

On Significances of Imposing Tobin Tax on Abnormal Capital Inflows as Well as the Related Technical Rules

Capital Inflows To US Banks Actually Make Sense Capital Inflows To U. S. Banks Actually Make Sense

Monetary Management in Mainland China in the Face of Large Capital Inflows

Incentive Measures and Implications on Foreign Capital Inflows

A Study on the Dynamic Effects of Foreign Capital Inflows on Domestic Savings

and a drying up of capital inflows

The latent risk and guarding measure of Non- entity capital'inflows

The Surge of Capital Inflows Won't Stimulate the Inflation

The reserves have been growing rapidly in past months because of large capital inflows;

Capital Inflows: The Role of Controls

Controls on Capital Inflows by Developing Countries: A Model Analysis on Taxation on Capital Inflows