Asset and liability management in the developing countries : modern financial techniques - a primer
AbstractThe increased volatility of exchange rates, interest rates, and primary commodity prices over the past two decades has highlighted the importance for developing countries of managing these risks. Asset and liability management - a risk-management technique to systematically control price risks with market-based financial instruments - has been developed and broadly used in the industrial countries. However, its applications to developing countries have been limited. The purpose of this paper is to provide a primer of : 1) a concept of asset and liability management applicable to a country, and 2) modern financial instruments and hedging activities with these instruments. To illustrate practical applications of these instruments, several examples of developing country risk-management activities are presented later in the paper. It also discusses some factors that limit the developing countries'use of modern financial tools and considers ways to remove these factors. It concludes with a description of the World Bank's assistance programs in this area.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by The World Bank in its series Policy Research Working Paper Series with number 454.
Date of creation: 30 Jun 1990
Date of revision:
Banks&Banking Reform; Environmental Economics&Policies; Insurance&Risk Mitigation; Financial Intermediation; Economic Theory&Research;
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Roula I. Yazigi).
If references are entirely missing, you can add them using this form.