This book critically examines the progress made on macroeconomic stabilization and financial sector reform in the transition economies of Central and Eastern Europe. It relates microeconomic experiences to the broader macroeconomic context of reform, and emphasises that macro reform is underpinned by micro and institutional reform, especially in the financial sphere.
Key features include:
* bank and enterprise restructuring and the progress towards the resolution of banking and bad debt problems
* implications of bank and enterprise restructuring for corporate governance and company performance
* an evaluation of bank-enterprise relationships
* exchange rates and capital flows, with an analysis of the capital inflow problem and the performance of fixed exchange rate regimes in the post-stabilization phase of the transition
* detailed surveys of individual firm and bank behaviour and performance during the reform process.
The book will be welcomed by scholars and practitioners interested in monetary and financial economics, the economics of transition and comparative economic systems.