I am sure that all these extreme positions do not stand a chance in the real world. In point of fact - as the discussions three weeks ago at the spring meeting of the IMF and World Bank in Washington showed - the key issue is how and in which direction the existing system can be strengthened.
Move towards riskbased supervision, and changes in prudential regulation and supervisory oversight to address cross-border activities would be important steps in this regard. 18. For successful integration, economic fundamentals need to be and remain strong. Local markets need to be properly regulated and supervised. If market fundamentals deteriorate, speculative attacks will occur with capital outflows generated by both domestic and foreign investors.