Comments from Poland’s central bank this week highlighting the risk that a stronger currency would hold back the economic recovery suggests that policymakers view the exchange rate as a tool that has been blunted during the current crisis and that they may pursue a more aggressive monetary stance. Meanwhile, the Turkish Wealth Fund’s acquisition of a controlling stake in the country’s largest mobile phone operator adds to the evidence that the state is taking a more active role in the economy. This increases the risk of a misallocation of resources that exacerbates problems in the banking sector.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services