Sound financial stability assessments necessitate intensive analysis of different sectors, namely, the household sector, the corporate sector, the real estate sector, the government sector, and the non-bank financial sector.
This volume provides a complete analysis and risk assessment of each of these sectors which make up the subtle and intricate fabric which contribute to financial stability. The book considers:
* Micro-prudential and macro-prudential regulations and how they constitute core ingredients to ensure a sound and smooth functioning financial system.
* The role of household debt as a coveted economic indicator of the building up of financial instability pressures.
* The relation of the real estate sector to the prevalence of financial crises through asset price bubbles.
* The role of the corporate sector in financial stability risk analysis. In particular, the balance sheets of the corporate sector are widely examined to uncover feasible risks to financial stability.
* The role of the government sector, with particular emphasis being laid on public debt management.
This book will prove valuable to central bankers, economists, and policy-makers who are involved in the field of financial stability, as well as researchers studying the field.
Rezensionen / Stimmen
'Indranarain Ramlall's proposal is a great attempt at giving a comprehensive view of financial stability from a theoretical, practical and policy perspective. It aims at providing future students with the tools to understand the framework in which financial stability is assessed and understood today by international organisations and central banks across the world. To my knowledge, this is the only book that covers such a wide range of topics related to financial stability. It, therefore, has the potential to become a good reference book on the topic. I believe that Indranarain Ramlall has made a great proposal to provide a "big picture view" on financial stability. I look forward to reading the textbook!' -- Celine Tcheng, Central Bank of France 'Financial stability has become a major concern for central banks, after the 2008 global financial crisis. More and more research is tackling topics regarding the role of the financial system in macroeconomic models and the implementation of macroprudential policy. Therefore, a comprehensive overlook of financial stability issues, such as the one offered by The Theory and Practice of Financial Stability can prove particularly useful for experts working in the financial system, central bankers included. The textbook covers a diverse set of topics from policy matters to risk assessment analysis.' -- Elena Banu, Central Bank of Romania 'This book is a comprehensive work on one of the most actual topics in the aftermath of the Great Recession. It covers a wide range of topics on financial stability complementing theoretical frameworks with practical examples.
Starting with a conceptual description on financial stability, the book overviews a history of the major financial crises and Basel regulation rules. Particularly useful is an inquiry of the financial stability perspectives across different asset classes and economy sectors. Another beneficial feature of this book is a complete oversight of stress testing methodologies.
The book is a thorough compilation of topics on financial stability and definitely deserves a place on the bookshelves of central bankers, government and private institutions' officials.' -- Vaidotas Sumskis, Bank of Lithuania 'Dr Indranarain's book is an actual textbook for interpreting interrelations between all aspects and sectors of the international economy and will surely be a highly useful tool for credit institutions, investors, practitioners as well as academics. From a Central Bank's point of view this book provides an integrated approach to macroeconomic environment and the interactions between the various factors and an actual tool for assessing and measuring leading circumstances and indicators that affect financial stability and may
cause vulnerabilities.' -- Vasiliki Vlachostergiou, Central Bank of Greece 'This is a monumental work! I didn't find anything missing. I think it will be useful for students, economic and finance professionals and policymakers.' -- Christophe Andre, OECD 'Financial stability was always a priority for financial sector regulators and it has surpassed other objectives since the global financial crisis. Given various complexities associated with the financial stability and rapid developments over time, existing literature tends to deal with specific aspects of financial stability. It is very difficult to get a comprehensive book dealing with the wide range of concepts, different segments of financial sector, ever increasing variety of financial instruments and regulations associated with financial stability. The current book is a very good attempt to fill this gap through its comprehensive coverage of almost the entire gamut of financial stability related topics. This book should be
useful for financial sector regulators, related ministries in the governments, researchers, multilateral institutions, other financial sector stakeholders and general public who are interested to know the complexities of the financial sector and financial stability.' -- Ajay Prakash-an, Financial Stability Expert The author analyzes the household, corporate, real estate, government, and non-bank financial sectors in terms of financial stability and risk assessment. He considers drivers of household debt, country features related to household debt, the interaction of the household sector with other sectors in an economy, household metrics, and household debt and financial stability; corporate sector classification, financing, balance sheet and ratio analysis, bankruptcy models, contingent claims analysis, challenges, country features, the role of the corporate sector in financial crises, impacts on financial stability, and other aspects; the real estate sector and its composition, the features of commercial real estate loans, the role of real estate sector under asset holding, the significance of the sector in the world, metrics for real estate analysis, causes of instability in the sector, its relationship to the banking sector, policies to enhance financial stability in the sector, and other areas; the government sector and public debt, its management, and financial stability; and the non-bank financial sector, focusing on shadow banks, insurance companies, investment funds, and hedge funds. -- Annotation (c)2019 * (protoview.com) *
INDRANARAIN RAMLALL, PHD, is a Senior Lecturer at the University of Mauritius in the department of Economics and Statistics. He previously served as a Credit Corporate Officer at the State Bank of India, Mauritius, and then a Fund Manager at Anglo-Mauritius Financial Services Limited. Dr Indranarain Ramlall also worked within the Financial Markets Division and the Financial Stability Unit at the Central Bank of Mauritius. At this time, he also served as a member of the Joint Working Group Committee on Debt Management and the Sub-Committee on Treasury Bill Allocation. His research interests include financial stability, central banking, risk management, economics and finance in Mauritius, investment analysis, quantitative techniques and econometric modelling, and the economics of climate change and green finance. Dr I. Ramlall is also an accomplished pioneer in the field of global central bank ratings.
Autor*in
University of Mauritius, Mauritius
Chapter 1. Household Sector Chapter 2. Corporate Sector
Chapter 3. Real Estate Sector
Chapter 4. Government Sector
Chapter 5. Non-Bank Financial Sector
