Universidad Complutense de Madrid. Facultad de Estudios Estadísticos
Local Currency Bonds, Banking Systems, Fintech, and Credit Growth in Post-socialist Economies
Aleksandr Gevorkyan, St. John's University

Jueves 7 de marzo de 2019 a las 13:00 horas.

Salón de Actos Juan Béjar. Facultad de Estudios Estadísticos. Universidad Complutense de Madrid. Avda. Puerta de Hierro s/n, 28040 Madrid, España.

This talk offers a history-based perspective on some of the new trends in economic development of the post-socialist economies of Eastern Europe and Former Soviet Union. Many smaller post-socialist economies are increasingly relying on international capital markets to finance their public spending. This has important implications for sovereign debt and local currency debt dynamics. In that regard, transition economies seem to be following broader emerging markets trends. Recent credit growth in the transition economies is driven by the influence of external conditions and greater access to outside liquidity. In addition, the economic implications of the growing fintech sector and the broader disruptive social and institutional changes are yet to be fully addressed. This presentation will discuss these financial market trends in the context of the development trends of transition economies. Is the expansion of financial services a sign of overall macroeconomic advancement or could there be hidden signs of a looming crisis?