The Effect of Capital Flow Management Measures in Five Asian Economies on the Foreign Exchange Market
Matthew S. Yiu
Additional contact information
Matthew S. Yiu: Hong Kong Monetary Authority
No 412011, Working Papers from Hong Kong Institute for Monetary Research
This paper examines the effects of the capital flow management measures (CFMs) introduced by five Asian economies (Indonesia, Korea, Malaysia, the Philippines and Thailand) to deal with large capital inflows on the foreign exchange market. Using the GARCH methodology, this paper models the changes in these economies¡¦ exchange rates against the US dollar with the eight CFMs from February 2010 to March 2011 as the focal explanatory variable. The empirical results show that four CFMs stabilised the exchange rates by reducing exchange rate volatility and one had an effect on the exchange rate level. However, their effects on the currency option market were mixed.
Pages: 15 pages
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed
Downloads: (external link)
http://www.hkimr.org/uploads/publication/39/ub_ful ... o-41_2011-final-.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://www.hkimr.org/uploads/publication/39/ub_full_0_2_307_wp-no-41_2011-final-.pdf [301 Moved Permanently]--> http://www.aof.org.hk/research/HKIMR/uploads/publication/39/ub_full_0_2_307_wp-no-41_2011-final-.pdf [301 Moved Permanently]--> https://www.aof.org.hk/research/HKIMR/uploads/publication/39/ub_full_0_2_307_wp-no-41_2011-final-.pdf)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:hkm:wpaper:412011
Access Statistics for this paper
More papers in Working Papers from Hong Kong Institute for Monetary Research Contact information at EDIRC.
Bibliographic data for series maintained by HKIMR ().