Eastern Caribbean Currency Union Selected Issues

This paper assesses the evolution of Eastern Caribbean Currency Union (ECCU) real exchange rates over time, and examines whether the region has lost competitiveness. The main finding is that there is little evidence of overvaluation of the Eastern Caribbean (EC) dollar. The relationship summarized a...

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Bibliographic Details
Corporate Author: International Monetary Fund
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 2008
Series:IMF Staff Country Reports
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
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653 |a Economics 
653 |a Banks 
653 |a Public finance & taxation 
653 |a Financial crises 
653 |a Banks and banking 
653 |a Taxes 
653 |a Corporations 
653 |a Exports and Imports 
653 |a Mortgages 
653 |a Foreign Exchange 
653 |a Business Taxes and Subsidies 
653 |a Banking 
653 |a Taxation 
653 |a Investment Decisions 
653 |a Foreign exchange 
653 |a Tourism 
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653 |a Short-term Capital Movements 
653 |a Current Account Adjustment 
653 |a Micro Finance Institutions 
653 |a Balance of payments 
653 |a Currency 
653 |a Asset and liability management 
653 |a Economic sectors 
653 |a International economics 
653 |a Liquidity 
653 |a Corporate income tax 
653 |a Banks and Banking 
653 |a Corporate & business tax 
653 |a Corporate Taxation 
653 |a Banking crises 
653 |a Real exchange rates 
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653 |a Finance: General 
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520 |a This paper assesses the evolution of Eastern Caribbean Currency Union (ECCU) real exchange rates over time, and examines whether the region has lost competitiveness. The main finding is that there is little evidence of overvaluation of the Eastern Caribbean (EC) dollar. The relationship summarized above permits the calculation of equilibrium current account balances or norms. The financing of ECCU current account imbalances appears stable. This paper also provides evidence on the distinctive impact that tourism plays in the determination of the real exchange rate in tourism-driven economies