‘Unofficial dollarisation’ raises significant stability risks, ECB study finds

ecb-frankfurt

The active use of foreign currencies such as the US dollar and – to a far lesser extent – the euro in emerging market economies can contribute to the build-up of significant risks to financial stability and limit the scope for counter-cyclical policies, according to a new study by the European Central Bank (ECB).

Some emerging markets have a significant share of their assets and liabilities referenced in US dollars, euros and other ‘hard' currencies. When these holding are of substantial size, e

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: