|Annual Meetings Boards of Governors
World Bank Group
International Monetary Fund
Program Schedule Saturday, September 25, 1999
Last updated September 3, 1999
|8:45-10:30||Welcome & Opening
Seminar: Beyond the Crisis: The Outlook for Private Capital
Flows to Emerging Markets
Global financial integration has undeniable benefits for developing
economies. But it has also made them more vulnerable. Sudden swings in
investor sentiment and global capital movements can cause severe damage
to the domestic financial and real sectors. This session will examine the
future of private international capital flows for both foreign investors
and recipient countries. It also will also look at which policies can
strengthen these private capital flows to economic development while
reducing the potential for crises.
Global financial integration has undeniable benefits for developing economies. But it has also made them more vulnerable. Sudden swings in investor sentiment and global capital movements can cause severe damage to the domestic financial and real sectors. This session will examine the future of private international capital flows for both foreign investors and recipient countries. It also will also look at which policies can strengthen these private capital flows to economic development while reducing the potential for crises.
|11:00-12:30||Exchange Rate Systems for
Emerging Markets: One Size Fits All?
What exchange rate system should developing countries adopt in an era of volatile international capital flows? Some argue that floating rates provide the flexibility necessary to respond to volatile capital flows and fluctuations in the exchange rates of advanced countries, while others believe a firm commitment to a peg -- such as in a currency board -- would help increase credibility and stability. Still others argue that the abandonment of a domestic currency altogether - the "dollarization" model - is the best way to isolate a country from the volatility of international capital. Despite a generalized movement to increased flexibility, intermediate regimes - including bands and crawling pegs - continue to be the norm preferred by many emerging markets.
|11:00-12:30||Bank and Corporate
Restructuring After Crises: Which Prescriptions Work Best?
Systemic financial crises have affected banks and corporations in many emerging markets. This session will take stock of the impact of both past and current crises on banks and corporations, review restructuring efforts underway in many emerging markets, and examine what works best.
|11:00-12:30||The Road Less Traveled: Public/Private Partnerships for Development*
Traditionally, provision of public goods was the exclusive work of government. Today, the private sector is increasingly recognizing the profitability of acting in the public interest, working in partnership with the state and civil society. This session will explore what makes these partnerships successful, both at the domestic level and in the international arena; and new opportunities for the private sector to operate in the public domain. Panelists will describe their personal experiences with public and private interests and how they can work together for common goals in areas as diverse as regional economic development, corporate performance and natural resource management. The session will also explore briefly the role of multilateral institutions, and how they might serve as catalysts for these new partnerships.
|12:30-1:45||Keynote Luncheon: Results
Hilde Johnson, Minister of International Development and Human Rights, Ministry of Foreign Affairs, Norway
|2:00-3:15||Dealing With Volatility:
The Role of Risk Management
The high volatility experienced in developing country financial markets in the past few years has brought issues of risk management to the fore in an unprecedented way. This seminar will address the major lessons that have been learned from recent experience and discuss some possible solutions to unresolved issues.
|2:00-3:15||Countries' Use of Capital Controls
While significant benefits can follow from capital account liberalization, this option also involves significant risks. The negative impact of massive reversals of capital flows on currency markets in Asia, Russia and Latin America have sparked a renewed debate about the role of capital controls. The crisis that ensued has also raised the question of how best to sequence capital account liberalization in order to reduce the volatility of capital flows.
Severe financial system problems have recently affected a number of countries including industrial, developing, and transition economies. These problems have impaired the efficiency of financial intermediation and resource allocation; reduced the effectiveness of monetary policy; led to large direct and indirect fiscal costs; triggered economic downturns; exacerbated economic contractions; and created negative spill-over effects for the international community. These experiences demonstrate the close interrelation between financial system stability and macroeconomic policy implementation and performance. A broad consensus has emerged on the need for strengthened monitoring and assessment of the health, maturity and stability of financial and banking systems.
|3:45-5:00||Managing Political Risk
and Facilitating Foreign Direct Investment
The financial crisis that began in Asia almost two years ago, followed closely by financial adversities faced by countries like Russia and Brazil, resulted in a very uncertain and difficult foreign investment environment. Today, gradual economic recovery through financial restructuring has led to signs of stabilization in a number of Asian economies, boosting investor confidence in the international financial markets. These boom-and-bust cycles can have severe implications for the investing community and also for the recipients of foreign investment flows. What recourse do investors have in mitigating risks in this environment? Key questions that this session will focus on include:
|3:45-5:00||The Private Sector, Crisis
Prevention and Resolution: Bailing Out or Bailing In?
One of the major lessons of the recent crises is that emergency official assistance to large countries is unlikely to be much help in the face of massive capital outflows. The appropriate role for the private sector in crisis prevention and resolution has become one of the main topics in the international financial architecture debate. Among the proposals under consideration are the modification of rules applying to international bond contracts, the creation of mechanisms to coordinate the actions of creditors, and the ability of the international community to lend to a country in arrears on its external debts, or even to authorize a standstill in payments.
|3:45-5:00||Private Flows and Social Investments: Laying The Foundation of a New Financial Architecture*
How can economic growth be achieved while at the same time reducing poverty and improving social conditions? This policy question has risen to the forefront of the international community's debate over the need for a new financial architecture in the wake of the recent crises in emerging markets. Experience demonstrates that economic growth policies can and should be accompanied by reductions in inequality and substantial improvements in social conditions, as this approach provides a better climate in the long run for both foreign and local private sector investment.
|5:30-6:30||Keynote: Needed: Two Billion Jobs - The Challenge of Youth
|* Public Policy Forum|
|Please note that Speakers are confirmed as of August 31, 1999 but still subject to change.|