01617cas a2200241 a 4500 AALejournalIMF009824 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451839418 1934-7685 BD-DhAAL BD-DhAAL International Monetary Fund. Uruguay : Selected Issues. Washington, D.C. : International Monetary Fund, 2008. 1 online resource (78 pages) IMF Staff Country Reports <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 examines the inflation expectations, monetary policy credibility, and dollarization. Country fundamentals have explained variation in sovereign spreads, but external factors play an important role. This paper assesses the role of and prospects for bank-lending from a cyclical and structural perspectives. A model calibrated for Uruguay, a financially dollarized economy, suggests that reserves are nearing optimal prudential levels. The results of a modified Merton framework, applied to the case of the Uruguayan banking system, appear to be promising for countries without equity markets. Mode of access: Internet IMF Staff Country Reports; Country Report ; No. 2008/046 Full text available on IMF http://elibrary.imf.org/view/journals/002/2008/046/002.2008.issue-046-en.xml IMF e-Library