Coping with the Global Financial Crisis

Provides an assessment of the implications of the financial crisis for low-income countries, evaluates the short-term macroeconomic outlook for these countries, and discusses the policy challenges they face. Subjects covered include the outlook for global economic growth and commodity prices; fiscal policy; monetary and exchange rate policy responses; and potential external financing needs. The challenges are outlined, including debt vulnerabilities and the need for countries to develop well-regulated local capital markets and banking systems.