01899cas a2200277 a 4500 AALejournalIMF008947 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451862928 1018-5941 BD-DhAAL BD-DhAAL Garcia Pascual, Antonio. Toward An Effective Supervision of Partially Dollarized Banking Systems / Antonio Garcia Pascual, Jorge Cayazzo, Socorro Heysen, Eva Gutierrez. Washington, D.C. : International Monetary Fund, 2006. 1 online resource (50 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 The paper presents a supervisory framework that addresses the vulnerabilities of partially dollarized banking systems. The tendency to underprice systemic liquidity risk and currency-induced credit risk creates vulnerabilities that need supervisory responses. The framework seeks to induce agents to better internalize risks by implementing a risk based approach to supervision, following the risk management guidelines of the Basel Committee, and by establishing buffers to cover higher liquidity and solvency risks. The paper also shows that most dollarized countries have addressed their liquidity vulnerabilities, but few have addressed those arising from currency-induced credit risks. Mode of access: Internet Cayazzo, Jorge. Gutierrez, Eva. Heysen, Socorro. IMF Working Papers; Working Paper ; No. 2006/032 Full text available on IMF http://elibrary.imf.org/view/journals/001/2006/032/001.2006.issue-032-en.xml IMF e-Library