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Monetary policy frameworks in the Middle East and North Africa: How do they compare with other groupings?

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  • David Cobham

Abstract

This paper presents a classification of the monetary policy frameworks (MPFs) of 19 MENA countries from 1974 to 2017. It identifies the key trends in the region and contrasts them with the trends among three other groups: advanced countries, emerging countries and Latin American countries. It considers likely reasons for the MPF choices of MENA governments and notes the economic performance associated in the region and elsewhere with different MPFs. It examines how these MPF choices relate to trends in central bank independence and transparency, and in democracy and governance. Finally, it brings these elements together in an argument that a move to democracy in the MENA countries could open the way to monetary policy frameworks that would offer improved economic performance.

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  • David Cobham, 2022. "Monetary policy frameworks in the Middle East and North Africa: How do they compare with other groupings?," Scottish Journal of Political Economy, Scottish Economic Society, vol. 69(1), pages 108-130, February.
    • Handle: RePEc:bla:scotjp:v:69:y:2022:i:1:p:108-130
    DOI: 10.1111/sjpe.12266
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    References listed on IDEAS

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    1. Alan S. Blinder & Michael Ehrmann & Marcel Fratzscher & Jakob De Haan & David-Jan Jansen, 2008. "Central Bank Communication and Monetary Policy: A Survey of Theory and Evidence," Journal of Economic Literature, American Economic Association, vol. 46(4), pages 910-945, December.
    2. N. Nergiz Dincer & Barry Eichengreen, 2014. "Central Bank Transparency and Independence: Updates and New Measures," International Journal of Central Banking, International Journal of Central Banking, vol. 10(1), pages 189-259, March.
    3. Alan S. Blinder & Michael Ehrmann & Marcel Fratzscher & Jakob De Haan & David-Jan Jansen, 2008. "Central Bank Communication and Monetary Policy: A Survey of Theory and Evidence," Journal of Economic Literature, American Economic Association, vol. 46(4), pages 910-945, December.
    4. Cobham, David & Song, Mengdi, 2020. "How do countries choose their monetary policy frameworks?," Journal of Policy Modeling, Elsevier, vol. 42(6), pages 1187-1207.
    5. Roberto R. Rocha & Zsofia Arvai & Subika Farazi, 2011. "Financial Access and Stability : A Road Map for the Middle East and North Africa," World Bank Publications - Books, The World Bank Group, number 2360.
    6. Ana Carolina Garriga, 2016. "Central Bank Independence in the World: A New Data Set," International Interactions, Taylor & Francis Journals, vol. 42(5), pages 849-868, October.
    7. repec:pri:cepsud:161blinder is not listed on IDEAS
    8. David Cobham, 2021. "A comprehensive classification of monetary policy frameworks in advanced and emerging economies," Oxford Economic Papers, Oxford University Press, vol. 73(1), pages 2-26.
    9. Roberto Rocha, 2011. "Financial Access and Stability : A Road Map for the Middle East and North Africa," World Bank Publications - Reports 10868, The World Bank Group.
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    Cited by:

    1. Caner Bakir, 2023. "The vicious circle of policy advisory systems and knowledge regimes in consolidated authoritarian regimes," Policy and Society, Darryl S. Jarvis and M. Ramesh, vol. 42(3), pages 419-439.
    2. David Cobham, 2024. "Monetary policy frameworks since Bretton Woods, across the world and its regions," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 160(3), pages 873-903, August.
    3. Sullivan, Megan, 2023. "Determinants of monetary policy frameworks in emerging and developing countries," MPRA Paper 118398, University Library of Munich, Germany.
    4. Sullivan, Megan, 2024. "Understanding and Predicting Monetary Policy Framework Choice," Accountancy, Economics, and Finance Working Papers 2024-01, Heriot-Watt University, Department of Accountancy, Economics, and Finance.

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