IMF’s Adrian weighs balance between stimulus and stability
Central banks need to incorporate macro-financial stability in decision-making processes, he says
As central banks try to find new ways to provide monetary stimulus when dealing with the Covid-19 pandemic, they will also need to bear in mind financial stability risks.
Tobias Adrian, director of the monetary and capital markets department at the International Monetary Fund, says “more stimulus is needed”, adding that the “post-2008 playbook won’t suffice”, in a blog post published on the fund’s website on December 14.
Adrian highlights how the Covid-19 crisis has worsened the difficulties
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