type="main" xml:lang="en" <title type="main">Abstract</title> <p>The international financial crisis and the euro-area sovereign debt crisis brought to the fore the importance of financial conditions to the macro-economy. The complexity of the financial sector means that a wide range of financial variables is needed to fully...</p>

In this note, we quantify the deterioration of achievable stabilization outcomes when monetary policy operates under imperfect credibility and weak anchoring of long-term expectations. Within a medium-scale Dynamic Stochastic General Equilibrium (DSGE) model, we introduce, through a simple...

Indonesia’s business environment is discouraging entrepreneurship and holding back private-sector growth and development. Weaknesses in the regulatory framework, infrastructure bottlenecks and poor governance continue to weigh down on investment. Policies have been put in place to address...