01833cas a2200265 a 4500 AALejournalIMF006761 230101c9999 xx r poo 0 0eng d 5.00 USD 9781455208883 1018-5941 BD-DhAAL BD-DhAAL Montiel, Peter. Monetary Transmission in Low Income Countries / Peter Montiel, Antonio Spilimbergo, Prachi Mishra. Washington, D.C. : International Monetary Fund, 2010. 1 online resource (42 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper reviews monetary transmission mechanisms in low-income countries (LICs) to identify aspects of the channels that may operate differently in LICs relative to advanced and emerging economies. Given the weak institutional frameworks, reduced role of securities markets, imperfect competition in the banking sector and the resulting high cost of bank lending to private firms, the traditional channels (interest rate, bank lending, and asset price) are impaired in LICs. The exchange rate channel is also undermined by central bank intervention in the foreign exchange market. These conclusions are supported by review of the institutional frameworks, statistical analysis, and previous literature. Mode of access: Internet Mishra, Prachi. Spilimbergo, Antonio. IMF Working Papers; Working Paper ; No. 2010/223 Full text available on IMF http://elibrary.imf.org/view/journals/001/2010/223/001.2010.issue-223-en.xml IMF e-Library