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The International Monetary System: Where Are We and Where Do We Need to Go?

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  • Rakesh Mohan
  • Michael Debabrata Patra
  • Muneesh Kapur

Abstract

The North Atlantic financial crisis of 2008-2009 has spurred renewed interest in reforming the international monetary system, which has been malfunctioning in many aspects. Large and volatile capital flows have promoted greater volatility in financial markets, leading to recurrent financial crises. The renewed focus on the broader role of the central banks, away from narrow price stability monetary policy frameworks, is necessary to ensure domestic macroeconomic and financial stability. Since international monetary cooperation might be difficult, though desirable, central banks in major advanced economies, going forward, need to internalize the implications of their monetary policies for the rest of the global economy to reduce the incidence of financial crises.

Suggested Citation

  • Rakesh Mohan & Michael Debabrata Patra & Muneesh Kapur, 2013. "The International Monetary System: Where Are We and Where Do We Need to Go?," IMF Working Papers 2013/224, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2013/224
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    Cited by:

    1. V. Kuznetsova V. & В. Кузнецова В., 2016. "Мировая валютная система: проблемы и пути реформирования // International monetary system: issues and areas of reforms," Мир новой экономики // The world of new economy, Финансовый университет при Правительстве Российской Федерации // Financial University under The Governtment оf The Russian Federation, issue 3, pages 38-47.
    2. Dominik A. Skopiec, 2015. "Rola specjalnych praw ciągnienia we współczesnym międzynarodowym systemie walutowym," Gospodarka Narodowa. The Polish Journal of Economics, Warsaw School of Economics, issue 5, pages 89-118.
    3. Rakesh Mohan & Muneesh Kapur, 2014. "Monetary Policy Coordination and the Role of Central Banks," IMF Working Papers 2014/070, International Monetary Fund.

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