Table of contents

Executive summary

1 Introduction

2 How the world has changed

2.1 Capital flow volatility
2.2 Sudden stops
2.3 Exchange rates, capital accounts and IMF programmes
2.4 Inflation targets
2.5 Capital controls
2.6 Reserve accumulation
2.7 New instruments: Flexible credit lines and agreements
2.8 Conclusions

3 How the IMF has changed

3.1 Improved bilateral and multilateral surveillance
3.2 Capital controls
3.3 Debt sustainability
3.4 Exchange rates
3.5 IMF resources
3.6 Precautionary arrangements
3.7 A fast qualification facility
3.8 Streamlined structural conditionality
3.9 Transparency

4 The emergence of regional funds

4.1 Pros and cons of regional funds
4.2 Chiang Mai
4.3 Fondo Latino Americano de Reservas (FLAR)
4.4 The European Stability Mechanism
4.5 The IMF’s response
4.6 Dealing with disagreements 53
Appendix: List of regional funds 56

5 China

5.1 The rise of China
5.2 Challenging the dollar and renminbi internationalisation
5.3 New international institutions
5.4 Implications for the IMF: Many questions and few certainties

6 Governance

6.1 Independent decision makers
6.2 Selection procedures
6.3 Accountability

Discussions