Combes, Jean-Louis; Plane, Patrick; Kinda, Tidiane - International Monetary Fund (IMF) - 2011
This paper analyzes the impact of capital inflows and exchange rate flexibility on the real exchange rate in developing … exchange rate appreciation. Among private flows, portfolio investment has the highest appreciation effect-almost seven times … exchange rate flexibility, we find that a more flexible exchange rate helps to dampen appreciation of the real exchange rate …