Costs and benefits of government borrowing in foreign currency: is it a major source of risk for EU member states outside the Euro?
This paper discusses the costs and benefits of government borrowing in foreign currency. While discussing the main costs, such as increased exposure to currency and rollover risks, and limited capacity to respond to financial crises, this paper also identifies two benefits of foreign currency borrow...
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| Format: | Article |
| Language: | English |
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Institute of Public Finance
2021-03-01
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| Series: | Public Sector Economics |
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| Online Access: |
http://www.pse-journal.hr/upload/files/pse/2021/1/2.pdf
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