In exceptional circumstances, when severe distortions in financial markets emerge and the level of uncertainty is higher, a more non-standard liquidity management by the central bank may be needed to prevent dysfunctional markets from interfering with the effective transmission of the monetary policy stance.
The recession has passed to the emerging economies, hit by the drop in exports to advanced countries, the decline in raw material prices, and the sudden reversal of capital flows. The countries that depend most heavily on financing from abroad, such as those of Central and Eastern Europe, are especially vulnerable.