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Central Banks in European Emerging Market Economies in the 1990s

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Abstract

This paper analyzes the institutional framework of central banks in ten Central and East European countries using the ECB as benchmark. It looks at the legislated objectives of these central banks, assesses the degree of political and functional independence and the status of their democratic legitimization and accountability. We find that while much progress has been made in making the statutes "Maastricht compatible", all of them will have to be adapted once again before EMU entry. The legislation provides for democratic accountability comparable to that of the ESCB. In recent years the enacted limitations of fiscal financing have become more binding. Rescue operations in the financial sector might be seen as encroaching the independence of the central bank.

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  • Eduard Hochreiter & Tadeusz Kowalski, 2000. "Central Banks in European Emerging Market Economies in the 1990s," Working Papers 40, Oesterreichische Nationalbank (Austrian Central Bank).
    • Handle: RePEc:onb:oenbwp:40
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    7. Willem H. Buiter, 1999. "Alice in Euroland," Journal of Common Market Studies, Wiley Blackwell, vol. 37(2), pages 181-209, June.
    8. Hochreiter, Eduard & Rovelli, Riccardo & Winckler, Georg, 1996. "Central banks and seigniorage: A study of three economies in transition," European Economic Review, Elsevier, vol. 40(3-5), pages 629-643, April.
    9. Mr. Helmut Wagner, 1998. "Central Banking in Transition Countries," IMF Working Papers 1998/126, International Monetary Fund.
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    11. Eduard Hochreiter & Riccardo Rovelli, 2002. "The generation and distribution of central bank seigniorage in the Czech Republic, Hungary and Poland," BNL Quarterly Review, Banca Nazionale del Lavoro, vol. 55(223), pages 391-415.
    12. Mr. Carlo Cottarelli, 1993. "Limiting Central Bank Credit to the Government: Theory and Practice," IMF Occasional Papers 1993/008, International Monetary Fund.
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    Cited by:

    1. Abou Hamia, Mohamad A., 2011. "Central Bank Independence and its Effect on Inflation in the ESCWA Countries," EconStor Preprints 193661, ZBW - Leibniz Information Centre for Economics.
    2. Abou Hamia, Mohamad A., 2024. "Why developing countries need a new central bank paradigm: Evidence from the Middle East and North Africa region," Economic Systems, Elsevier, vol. 48(4).
    3. Michael Berlemann & Kai Hielscher, 2016. "Measuring Effective Monetary Policy Conservatism of Central Banks: A Dynamic Approach," Annals of Economics and Finance, Society for AEF, vol. 17(1), pages 105-132, May.
    4. M. Berlemann & Nikolay Nenovsky, 2003. "Lending of First Versus Lending of Last Resort: The Bulgarian Financial Crisis of 1996/1997," Post-Print halshs-00260241, HAL.
    5. Sandra Dvorsky, 2009. "Central Banks in Transition: Legal and Institutional Challenges on the Way to EU Integration," Focus on European Economic Integration, Oesterreichische Nationalbank (Austrian Central Bank), issue 5, pages 82-91.
    6. Berlemann, Michael & Hielscher, Kai, 2011. "A Time-varying Indicator of Effective Monetary Policy Conservatism," Working Paper 112/2011, Helmut Schmidt University, Hamburg.
    7. Kowalski, Tadeusz & Kowalski, Pawel & Wihlborg, Clas, 2007. "Poland. The EMU entry strategy vs. the monetary issues," MPRA Paper 42599, University Library of Munich, Germany, revised 2007.
    8. Kowalski, Tadeusz, 2013. "Globalization and Transformation in Central European Countries: The Case of Poland," MPRA Paper 59306, University Library of Munich, Germany.
    9. Michael Berlemann & Kai Hielscher, 2013. "Effective Monetary Policy Conservatism: A Comparison of 13 OECD Countries," Scottish Journal of Political Economy, Scottish Economic Society, vol. 60(3), pages 267-290, July.
    10. Berlemann, Michael & Hielscher, Kai, 2009. "Measuring Effective Monetary Policy Conservatism," Working Paper 89/2009, Helmut Schmidt University, Hamburg.
    11. repec:onb:oenbfi:y:2009:i:0:b:11 is not listed on IDEAS
    12. Berlemann, Michael & Hilscher, Kai, 2010. "Effective monetary policy conservatism: A comparison of 11 OECD countries," HWWI Research Papers 2-21, Hamburg Institute of International Economics (HWWI).

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    More about this item

    Keywords

    central bank independence; central bank accountability; emerging market economies;
    All these keywords.

    JEL classification:

    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • E58 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Central Banks and Their Policies

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