Attention Economy


Tuesday, July 26, 2016

Exchange Rate Policies in Emerging Markets

Russia’s orthodox economic approach has helped it avoid economic disaster:
“Moscow made the tough decision to stop draining its foreign exchange reserves to defend the rouble and allowed the currency to fall sharply. That led to a rise in inflation, which is never popular with the masses, but in retrospect this was a smart call.”

Egypt is still struggling to stabilize its currency:
“The Egyptian pound fell Monday to its lowest-ever valuation on the unofficial black market amid increasing bets that a weaker economy will force Cairo to devalue its local currency again.”