IDEAS home Printed from https://ideas.repec.org/a/kap/openec/v36y2025i1d10.1007_s11079-023-09745-2.html
   My bibliography  Save this article

Extreme Capital Flow Episodes From the Global Financial Crisis to COVID-19: An Exploration With Monthly Data

Author

Listed:
  • Annamaria Crescenzio

    (OECD)

  • Etienne Lepers

    (OECD)

Abstract

The COVID-19 pandemic triggered major disruptions in international capital flows, the latest of several extreme episodes since the global financial crisis (GFC). This paper presents a new monthly dataset of gross capital flows for 47 countries, available publicly and updated quarterly, that is better suited to the identification of sudden shocks than quarterly Balance of Payments data. Leveraging on this dataset, we revisit the occurrence and drivers of extreme episodes since the GFC, asking whether COVID-19 significantly changed recent findings of a weaker role of global factors. The answer is no. Rather, the exceptional spikes in global factors during the initial stages of COVID should have predicted many more sudden stops than experienced. Instead, pull factors such as pre-COVID vulnerabilities and pandemic-specific factors appear key in explaining the identified cross-country heterogeneity.

Suggested Citation

  • Annamaria Crescenzio & Etienne Lepers, 2025. "Extreme Capital Flow Episodes From the Global Financial Crisis to COVID-19: An Exploration With Monthly Data," Open Economies Review, Springer, vol. 36(1), pages 105-136, February.
    • Handle: RePEc:kap:openec:v:36:y:2025:i:1:d:10.1007_s11079-023-09745-2
    DOI: 10.1007/s11079-023-09745-2
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11079-023-09745-2
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s11079-023-09745-2?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:openec:v:36:y:2025:i:1:d:10.1007_s11079-023-09745-2. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.