Cevik, Serhan.

Lost in Transmission? The Effectiveness of Monetary Policy Transmission Channels in the GCC Countries Serhan Cevik. [electronic resource] / Serhan Cevik. - Washington, D.C. : International Monetary Fund, 2012. - 1 online resource (35 p.) - IMF Working Papers; Working Paper ; No. 12/191 . - IMF Working Papers; Working Paper ; No. 12/191 .

This paper empirically investigates the effectiveness of monetary policy transmission in the Gulf Cooperation Council (GCC) countries using a structural vector autoregressive model. The results indicate that the interest rate and bank lending channels are relatively effective in influencing non-hydrocarbon output and consumer prices, while the exchange rate channel does not appear to play an important role as a monetary transmission mechanism because of the pegged exchange rate regimes. The empirical analysis suggests that policy measures and structural reforms - strengthening financial intermediation and facilitating the development of liquid domestic capital markets - would advance the effectiveness of monetary transmission mechanisms in the GCC countries.

1475505396 : 18.00 USD

1018-5941

10.5089/9781475505399.001 doi


Aggregate Demand
Central Banking
Credit Channel
Economywide Country Studies: Asia Including Middle East
Model Construction and Estimation
Monetary Policy


Bahrain

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