Since the start of the Global Financial Crisis in 2008, research on central banking has gained momentum due to unusual levels of central bank activism and unconventional monetary policy measures in many countries. While these policies drew significant attention to advanced economy central banks, there has been much less academic focus on central banking in emerging economies. This book extends the research on the political economy of central banking by focusing on the emerging economies in Asia, Africa, Latin America, and the European periphery.
Central banks are at the heart of economic policy making and their decisions have a significant impact on the social and economic well-being of citizens. Adopting an interdisciplinary political economy perspective, the contributions in this book explore the reciprocal relations between politics, economics, and central banks, and how global and domestic political economy context influences central bank practices. The chapters employ diverse theoretical perspectives such as institutional and organisational theory, developmental state, resource dependency and gender studies, drawing on disciplines ranging from politics, international relations, public policy, management, finance, and sociology.
This book will appeal to academics and students of central banking, political economy and emerging economies, as well as professionals and policy-makers engaged with central banks, monetary policy, and economic development.
1. Introduction: Political Economy of Central Banking in Emerging Economies
Asst. Prof. Mustafa Yagci (İstinye University)
Part 1 – Global Influences on Central Banking in Emerging Economies: Debates on Central Bank Independence and Institutional Evolution in National Economies
2. Institutional Metamorphosis: The Backlash Against Independent Central Banking
Dr Ioannis Glinavos (University of Westminster)
3. Central Banks and Institutional Evolution in Transition
Prof. Christopher A. Hartwell (Bournemouth University)
4. Building Confidence ‘On the Ground’: Encounters Between Finance and the Central Banks of South Africa and Turkey
Asst. Prof. Ayça Zayim (Mount Holyoke College)
5. The impact of political-technocratic consensus on institutional stability and change: Monetary and financial governance in Argentine and Chile
Max Nagel, PhD Candidate (Scuola Normale Superiore)
Part 2 – Central Banking in the European Periphery
6. The impact of European economic governance and EU accession negotiations on the central banks in candidate countries: the case of the National Bank of Serbia
Assoc. Prof. Tatjana Jovanic (University of Belgrade)
Part 3 – Central Banking in Africa
7. The political economy of central banking in Nigeria: a resource dependence perspective
Dr. Franklin Nakpodia (University of Leeds)
Dr Titilayo Ogunyemi (Oxford Brookes University)
Dr Folajimi Ashiru (Coventry University)
8. The Independence of the South African Reserve Bank: Coming full circle in 25 years?
Prof. Jannie Rossouw (University of the Witwatersrand)
Prof. Vishnu Padayachee (University of the Witwatersrand)
Part 4 – Central Banking in Latin America
9. Gender diversity as a tool to make central banks progressive institutions: the case of the Central Bank of Ecuador
Assoc. Prof. Guillaume Vallet (University of Grenoble Alpes)
10. The Political Economy of Brazil’s Enigmatic Central Bank, 1988-2018
Prof. Mario G. Schapiro (Fundação Getulio Vargas)
Assoc. Prof. Matthew M. Taylor (American University)
Part 5 – Central Banking in Asia
11. Interpreting the Evolution of the Monetary Regime in Russia: The Political Economy of Rent Seeking and Central Banking
Prof. Nikolay Nenovsky (University of Picardie Jules Verne)
Dr. Cornelia Sahling (Peoples' Friendship University of Russia)
12. The PBOC in the “New Era” of Chinese Political Economy
Asst. Prof. Orhan Yazar (Dongbei University of Finance and Economics)
13. Conclusion: New Venues of Research on Central Banking in Emerging Economies
Asst. Prof. Mustafa Yagci (İstinye University)
The 2007-8 Banking Crash has induced a major and wide-ranging discussion on the subject of financial (in)stability and a need to revaluate theory and policy. The response of policy-makers to the crisis has been to refocus fiscal and monetary policy on financial stabilisation and reconstruction. However, this has been done with only vague ideas of bank recapitalisation and ‘Keynesian’ reflation aroused by the exigencies of the crisis, rather than the application of any systematic theory or theories of financial instability.
Routledge Critical Studies in Finance and Stability, edited by Jan Toporowski from SOAS, University of London covers a range of issues in the area of finance including instability, systemic failure, financial macroeconomics in the vein of Hyman P. Minsky, Ben Bernanke and Mark Gertler, central bank operations, financial regulation, developing countries and financial crises, new portfolio theory and New International Monetary and Financial Architecture.