Research finds IMF lending helps limit future crises
Working paper examines impact of lending programmes in developing countries
Countries that participate in IMF lending programmes are "significantly less likely" to experience a future banking crisis than other, comparable countries, according to a working paper published by the Fund on January 26.
In IMF Lending and Banking Crises, Luca Papi, Andrea Presbitero and Alberto Zazzaro study the impact of lending programmes on banking crises in a sample of developing countries over the period 1970–2010.
The authors acknowledge that, in theory, the decision to enter into a
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