Global: Breaking the mould

There is now substantial evidence of the role of financial liberalisation in triggering financial crises, and on how these crises particularly affect the poor. Latin America is a clear example of a region that in the 1980s and 1990s, under the conditionality and advice of the World Bank and the IMF, embraced financial liberalisation, suffered several financial crises and is now increasingly relying on different forms of regulation of inflows and outflows. Argentina, Brazil and Costa Rica are among the countries that have recently implemented capital account regulations. This report reviews the evidence available on the impact of the measures implemented in these countries.