During the 1990s, Emerging Europe and Central Asia (ECA) opted for a model of rapid financial development focused on bank credit expansion often funded by foreign capital. This model helped boost the financial inclusion of firms and households, but was also accompanied by lower financial...

Policy makers and regulators have devoted much effort to reforms aimed at improving financial stability in response to lessons from the 2007-09 crisis. At the same time, much effort has also been directed to promoting greater financial inclusion as an enabler of equal opportunity. To some...

Transport corridors to stimulate regional integration and trade have become a popular development tool. But when they fail to generate the expected wider economic benefits, they can become wasteful or unequitable investments. This paper evaluates the relative strengths and weaknesses of...

Transport corridors can generate wider economic benefits and costs through their effects on a potentially diverse set of development outcomes, such as economic growth, poverty, jobs, equity, environmental quality, and economic resilience. To advance understanding of how corridors could generate...

Stress tests are the main practical tools of macroprudential oversight. This paper reviews the stress-testing practices of central banks in Central and South Eastern Europe (CSEECBs) and outlines the challenges in the area of stress testing going forward. The authors discuss good practice and...