Mr. Grenville focuses on international capital flows and crises Talk by the Deputy Governor of the Reserve Bank of Australia, Mr. Stephen Grenville, to Credit Suisse First Boston Australia Conference entitled, “The Global Financial System – The Risks of Closure” in Sydney on 13/11/98 (excluding bibliography).
There are many things that went wrong for the countries caught up in the Asian crisis of 1997, but out of the myriad causes, two clear central problems can be identified: the fatal combination of large and volatile international capital flows, interacting with fragile domestic financial sectors. Today, I want to focus on the first of these issues: international capital flows.