(SP78) Fear of Appreciation in East and Southeast Asia: The Role of the Chinese Renminbi by Victor Pontines and Reza Y. Siregar
The study brings into light the evidence of a fundamental role of the Chinese renminbi in shaping the exchange rate behaviour of other major Asian currencies. The results obtained suggest that there is an additional dimension to the fear of appreciation or fear of floating-in-reverse behaviour initially coined by Levy-yeyati and Sturzenegger (2007) with regard…
(SP77) Exchange Rate Asymmetry and Flexible Exchange Rates under Inflation Targeting Regimes: Evidence from Four East and Southeast Asian Countries
The paper demonstrates that the economies of Indonesia Korea Philippines and Thailand which are among the first group of emerging markets to embrace the inflation targeting framework of monetary policy tend to adopt a form of an asymmetrical exchange rate behaviour wherein appreciation pressures are restrained more substantially than depreciation pressures. In short these four…
(SP76) Greener Central Banks: Exploring Possibilities by Lim C.S. Vincent
The mandate of a central bank typically includes maintaining price stability and ensuring financial system stability and sustainable economic growth. In the near future the central bank can arguably play a very important role by being a leader rather than a laggard in climatic change policies. In the effort to mainstream climate change policies of…
(SP75) The US Sub-prime Crises and Extreme Exchange Market Pressures in Asia
The primary objective of this study is to examine the evidence of occurrences of extreme market pressure of currencies of a number of Asian economies against the US dollar during the period of 2000-2009. In particular we are interested in investigating the severity of these pressures during the recent US sub-prime crisis of 2007-2009. Were…
(SP74) The Role of Central Banks in Sustaining Economic Recovery and in Achieving Financial Stability by Siregar Reza Yamora and Lim C.S. Vincent
Whenever a financial crisis occurs threatening a possible financial meltdown central banks have to be at the forefront in combating neutralizing the crisis and restoring financial stability and economic growth. In this regard the present sub-prime crisis which originated from the US highlights a few key issues for SEACEN central banks. This paper reviews the…
(SP73) Effectiveness and Commitment To Inflation Targeting Policy: Evidences From Indonesia and Thailand by Siregar Reza Yamora and Goo Siwei
he chief objective of our paper is to highlight basic features of the IT policies adopted by Indonesia and Thailand and to evaluate the commitment of the monetary authorities and the overall performances of the IT regime. The results demonstrate that the IT regime in these two economies has had some success but not during…
(SP72) Economic Shocks And Exchange Rate As A Shock Absorber In Indonesia And Thailand by Siwei Goo and Reza Siregar
This study investigates the requirement for the exchange rate to be a shock absorber in Indonesia and Thailand from 1986 to 2007. In general we find that the economic shocks have predominantly been asymmetric relative to the US and the Japanese economies. Yet the weights attached to the US dollar remain respectably high in the…
(SP71) Diffusion Process for Exchange Rates in SEACEN Countries: Exchange Rate Equilibrium Level and its Volatility by Dr. Ryoo Sang Dai
A stochastic differential equation is at the very core of short-term dynamics of financial market especially short-term interest rate dynamics. Various parameter restrictions on the unrestricted model have led to many special models. Recently the diffusion process have been applied to short-term exchange rate movements and verified from an empirical standpoint. Using short-term market exchange…
(SP70) Bank Restructuring in Selected Emerging Economies: Rationale Consequences and Strategies by Dr. Ryoo Sang Dai
The main objective of the project is to identify major causes and leading indicators of banking crises based on the recent studies on banking crises in the emerging economies. It also aims to assess the effectiveness of the methods used identify the critical issues involved and examine the impact of banking restructuring. The project covers…
(SP69) Dynamics of the Inflation Process in the SEACEN Countries by Vincent Lim Choon Seng
This in-house research project aims to enhance the understanding of the dynamic process of inflation in the SEACEN countries and to assess the effectiveness of monetary policy in the management of inflation in the individual countries.