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The role of foreign exchange reserves: another viewpoint

Author

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  • Bogdan Glăvan

    (Romanian American University)

Abstract

Discussion around the optimality of foreign exchange reserves has intensified recently, due to a seeming ineficient increasing of foreign reserves, especially in the developing world. This paper presents the state of this issue, challenging the conventional perspective according to which foreign exchange reserves are needed in order to preserve the stability of exchange rates.

Suggested Citation

  • Bogdan Glăvan, 2006. "The role of foreign exchange reserves: another viewpoint," Romanian Economic Business Review, Romanian-American University, vol. 1(4), pages 61-67, Winter.
    • Handle: RePEc:rau:journl:v:1:y:2006:i:4:p:61-67
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