Financial liberalisation and currency demand in Zambia

Financial liberalisation and currency demand in Zambia

Author: 
Adam, C.
Place: 
Oxford
Publisher: 
Oxford University Press
Date published: 
1999
Record type: 
Journal Title: 
Journal of African Economies
Source: 
Journal of African Economies Volume 8 issue 3 Oct 1999 pp. 268-306
Abstract: 

This paper examines the impact of exchange rate and financial sector liberalisation measures implemented in the early 1990s on the private sector's demand for base money in Zambia. Using time-series data I show how the removal of controls on asset markets led to a permanent shift in the demand for narrow money. Linked with an increase in forecast volatility, this structural break appears to have undermined the efficacy of money-based stabilisation efforts in Zambia.

Language: 
Country focus: 

CITATION: Adam, C.. Financial liberalisation and currency demand in Zambia . Oxford : Oxford University Press , 1999. Journal of African Economies Volume 8 issue 3 Oct 1999 pp. 268-306 - Available at: https://library.au.int/frfinancial-liberalisation-and-currency-demand-zambia