The Global Financial Crisis: Impact, Policy responses and Future Prospects
The current financial crisis is almost unanimously seen as the most serious shock to the global economy since the 1930s Great Depression. Although this crisis emanated from advanced economies, its consequences are global, especially for emerging economies that are highly integrated into global financial markets like those of the GCC, most notably Dubai/UAE. Moreover, even less developed and poorer countries that are relatively isolated from these markets are also vulnerable, some quite severely, because the crisis might also lead to lower official development assistance or collapse of commodity exports. For example, the World Bank projects high income economies to shrink by 0.1 percent in 2008, compared to a pre-crisis projected growth of 2.5 percent for the same year; and for 2009 these economies are forecasted to experience even deeper recessions, ranging from a negative real growth of -2.5 percent for the Euro area to -3.8 percent for Japan. Also, for the first time since 1982, global trade volumes are expected to actually contract in 2009. The policy responses discussed in policy and academic circles, and implemented by some countries, is centered on liquidity provisions, asset purchases, recapitalization, and guarantees. The Group of 20's economic summit in April made some progress at the global policy cooperation/coordination front by agreeing on a set of measures covering fiscal and monetary policy coordination, support for developing countries and global prudential financial regulations. These measures also include increasing the capital of the World Bank and, especially the IMF, which will be tasked with the expended responsibility for ensuring global financial stability and preventing the recurrence of future global crisis.
This conference will analyze four interrelated issues regarding the crisis:
- Why and how it happened?
- What are the consequences and policy responses so far?
- What are the long-term implications and prospects for the World Economy, including the UAE/GCC
- What are the lessons for:
- Advanced Industrialized economies
- Emerging market economies
- Less developed economies
- Global economic cooperation/coordination (World Bank, IMF)
For further information, please, contact:
Hammad Bin hammad
23 September 2009
