International Finance and Developing Countries in a Year of Crisis: 1997 Discussions at the United Nations

The international financial and currency crisis that suddenly hit many Asian economies in mid-1997 has raised important questions regarding the impact on developing countries of powerful transnational forces of globalization and liberalization. This volume of essays by experts in this field examines the international financial crisis, reviews the deliberations of the General Assembly of the United Nations on the financing of development, and makes available the perceptions and analyses of external experts who contributed to the General Assembly’s 1997 session. The book begins with an incisive analysis of the financial crisis in some of the emerging market economies of Asia, with a special focus on Thailand, and its implications for policymakers. The following chapters emphasize the importance of the UN’s contribution to international policy for development; the need for improving current account positions and strengthening the financial sector rather than merely boosting growth in developing nations; the necessity to manage the volatility of capital flows to emerging markets; the benefits of capital-market liberalization accompanied by proper infrastructural development; and the techniques of attracting external financial resources and their effective absorption. The final chapter advocates an intergovernmental conference on finance and development and argues that the current system of global economic governance does not adequately represent developing economies. This timely, well-articulated and comprehensive volume will assist an informed understanding of the complexity and ramifications of the current processes of financial integration. It will be essential reading for those involved in formulating and implementing public policy as well as those in the fields of development studies, macroeconomics, public finance, international trade, the financial sector and business management.