In postcrisis Asia, the development of domestic bond markets is increasingly seen as one of the key requirements to strengthen the financial sectors of East Asian countries and to reduce their vulnerabilities to future financial crises. There is a great diversity in terms of the level of bond...

"Since the 1997 Asian financial crisis, a popular view among academic economists and policymakers is that developing countries with open capital accounts have only two options in their exchange rate regimes: either float the exchange rate freely or fix it hard. Within a fixed exchange rate...