Problem

Interference of transnational banks' off-shore borrowing with domestic monetary policies

Nature:

A matter of concern to governments, both of developed and developing countries, is the effect on domestic monetary policies of off-shore borrowings of foreign branches for their parent banks. For example, where central banks emphasize the use of reserve requirements to control aggregate increases in the money supply and credit, and when such inflows are not included in the liability base for the requirement, these can give rise to unexpected credit expansion.

Values:
Interference
Subject(s):
Commerce Banking
Commerce Credit
Commerce Money
Commerce Multinationals
Geology Land and coastal forms
Policy-making Policy
Related UN Sustainable Development Goals:
GOAL 16: Peace and Justice Strong InstitutionsGOAL 17: Partnerships to achieve the Goal
Problem Type:
E: Emanations of other problems
Date of last update
08.08.2019 – 17:19 CEST