External balances in low-income countries
Research published by the International Monetary Fund looks at the determinants of the real exchange rate, the current account and the net foreign assets position in low income countries.
The paper focuses on indicators specific to low income countries, such as the quality of policies and institutions, the special access to official external financing, and the role of shocks.
The research finds domestic financial liberalisation is associated with higher current account balances and net foreign
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