Monetary and Exchange Rate Policy in Malaysia before the Asian Crisis
Preprint, External research report
- Publisher: Institute of Developing Economies (IDE-JETRO)
IDE Discussion Paper = IDE Discussion Paper,
Monetary policy,Exchange rate,Capital control,Malaysia,Foreign exchange,Capital market,金融政策,為替相場,資本規制,マレーシア,外国為替,資本市場 | 金融政策 | Foreign exchange | マレーシア | Capital control | Malaysia | Capital market | Monetary policy | 為替相場 | JEL:E42 - Monetary Systems; Standards; Regimes; Government and the Monetary System | 資本市場 | JEL:F41 - Open Economy Macroeconomics | Exchange rate | JEL:E58 - Central Banks and Their Policies | 資本規制 | 外国為替
This paper provides a case study to characterize the monetary policy regime in Malaysia, from a medium- and long-term perspective. Specifically, we ask how the central bank of Malaysia, Bank Negara Malaysia (BNM), has structured its monetary policy regime, and how it has conducted monetary and exchange rate policy under the regime. By conducting three empirical analyses, we characterize the monetary and exchange rate policy regime in Malaysia by three intermediate solutions on three vectors: the degree of autonomy in monetary policy, the degree of variability of the exchange rate, and the degree of capital mobility.