Central banks and the challenge of development

It is not usual to see in-depth discussion of what central banks in developing countries can do to favour development. Apart, that is from the obvious need to maintain stable prices which everyone nowadays agrees is an essential condition for sustainable growth. However, economic development - the widening and deepening of economic activity and raising per person incomes - is, in fact now a major preoccupation of these central banks. Partly this is because recent foreign-aid flows and higher

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