Author : Mr.Timothy D. Lane
Publisher : International Monetary Fund
ISBN 13 : 1451978855
Total Pages : 28 pages
Book Rating : 4.4/5 (519 download)
Book Synopsis Financial and Enterprise Restructuring in Emerging Market Economies by : Mr.Timothy D. Lane
Download or read book Financial and Enterprise Restructuring in Emerging Market Economies written by Mr.Timothy D. Lane and published by International Monetary Fund. This book was released on 1994-03-01 with total page 28 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper examines alternative approaches to building sound financial structures in emerging market economies. The foremost task is to resolve the bad loan problem and to recapitalize insolvent state banks. By restoring an incentive for banks to price accurately the risks of new lending, this effort would be an important first step in strengthening financial control. However, we argue that this endeavor is only part of the task at hand; the remainder is to provide financing that facilitates the economic restructuring of SOEs. A comprehensive strategy may involve combining discipline derived from enforcing existing loans to SOEs with adequate funding for new forms of ownership, including financing for enterprise sell-offs and leasing.