IDEAS home Printed from https://ideas.repec.org/p/unt/pbmpdd/pb64.html
   My bibliography  Save this paper

Securing financial stability through macroprudential measures

Author

Listed:
  • Daniel Jeongdae Lee

    (Macroeconomic Policy and Financing for Development Division, United Nations Economic and Social Commission for Asia and the Pacific)

  • Jose Antonio Pedrosa-Garcia

    (Macroeconomic Policy and Financing for Development Division, United Nations Economic and Social Commission for Asia and the Pacific)

  • Kiatkanid Pongpanich

    (Macroeconomic Policy and Financing for Development Division, United Nations Economic and Social Commission for Asia and the Pacific)

Abstract

While financial stability is not an explicit objective for most central banks, it is clearly an issue of concern given its implications for the real economy. Given the current environment of relatively robust economic growth and benign inflation, central banks and other relevant authorities should focus especially on aspects of financial stability. This is particularly urgent for countries suffering from high or rapidly rising household debt and corporate leverage, as well as those suffering from distressed bank loans. Macroprudential measures complement monetary policy in securing financial stability. In view of the high degree of interconnectedness among financial institutions, a shock can spread rapidly across the entire system. Hence, there has been growing consensus that financial regulation should move from a "micro" approach based on individual institutions towards a "macro" framework. Macroprudential measures are aimed at reducing systemic risks and safeguarding the stability of the financial system as a whole, as opposed to microprudential measures which are targeted at specific segments or even institutions

Suggested Citation

  • Daniel Jeongdae Lee & Jose Antonio Pedrosa-Garcia & Kiatkanid Pongpanich, 2018. "Securing financial stability through macroprudential measures," MPDD Policy Briefs PB64, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP).
    • Handle: RePEc:unt:pbmpdd:pb64
    as

    Download full text from publisher

    File URL: http://www.unescap.org/sites/default/files/MPFD%20Policy%20Brief%2064_Macroprudential%20measures.pdf
    Download Restriction: no
    ---><---

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:unt:pbmpdd:pb64. 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: Macroeconomic Policy and Development Division, ESCAP (email available below). General contact details of provider: https://edirc.repec.org/data/escapth.html .

    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.