This is both a fascinating personal narrative of the often colorful warriors rebuilding a part of war-torn Yugoslavia, and a detailed inside look at how experts can stabilize a nation's currency and banking system. Written by an American who has led International Monetary Fund advisory missions to the central banks of more than twenty countries, this book, crafted in layman's language - but of immense value to specialists in monetary and foreign policy initiatives - is an account of the behind-the-headlines work American and other economists do to bring peace and prosperity to former failed states.Coats was involved in the creation of the Central Bank of Bosnia from before the Dayton Peace Accords. His "currency board" rules for monetary policy, and the creation of the bank, have resulted in the most successful state institution in the country.Marking the tenth anniversary of the bank, the technical world of economics comes alive as the book unfolds like a mystery novel full of colorful and determined people determined to escape the disaster of a bloody civil war.

Economic analysis of the future of the international monetary system and the USD, and the rising importance of the RMB.

This Technical Assistance (TA) report on Bosnia and Herzegovina highlights that the negative spread in a context of structural lower returns on foreign exchange reserves and sizable capital inflows has led to a gradual and steady erosion of the currency board coverage ratio. The Central Bank of Bosnia and Herzegovina (CBBH) requested Technical Assistance to review its reserve requirement framework. The mission recommends aligning the remuneration of reserve requirements on foreign exchange liabilities to the CBBH’s opportunity cost. The mission also recommends prescribing the fulfilment in foreign currency of the reserve requirements for foreign currency liabilities. It also suggested altering the remuneration scheme of domestic reserve requirements. In order to be neutral from an intermediation perspective, the reserve requirement remuneration should be aligned to the market-neutral uncovered interest rate parity rate, whereas the remuneration of excess reserves may take place significantly below the market-neutral rate but at or above the foreign currency remuneration rate. The CBBH may benefit from a constructive dialogue with the Area Department or TA to set the new rates of remuneration of domestic reserve requirement and excess reserves.

Bosnia and Herzegovina Investment and Business Guide Volume 1 Strategic and Practical Information

Money has the power to make nations and fuel wars. It is both the subject of diplomacy and the tool of those seeking to overthrow hostile regimes at home and abroad. Germany's hyperinflation following the First World War has entered the public consciousness as an extreme example of what can happen to a currency in conflict. What is not widely known is that it is by no means the worst case of war-induced hyperinflation. Hostile Money looks at the impact of war and revolution on national currencies – from Rome's civil war in the first century BC to the twenty-first-century invasions of Afghanistan and Iraq by American-led forces and the economic sanctions and cyberwarfare of today.

Since the violent events of the Bosnian war and the revelations of ethnic cleansing that shocked the world in the early 1990s, Bosnia has become a metaphor for the new ethnic nationalisms, for the transformation of warfare in the post-Cold War era, and for new forms of peacekeeping and state-building. This book is unique in offering a re-examination of the Bosnian case with a 'bottom-up' perspective. It gathers together cultural anthropologists and other social scientists to consider the specificities of the Bosnian case. However, the book also raises broader questions: what are the consequences of internecine violence and how should societies attempt to overcome them? Are the uncertainties and the transformations of Bosnian post-war society due entirely to the war, or are they related to wider processes encompassing post-communist Europe as a whole? And are the difficulties experienced by international state-building operations mainly due to distinctive features of the local societies or are they due to the policies promoted by the international community itself?