[Session 2] What New Risks  Are Looming?

Integral to coping with new risks is diagnosing potential risks on the financial front—for example, excesses in shadow banking and credit, currency and maturity mismatches, and possible sudden stops in capital flows to economies with fragility. A rising concern pertains to the manifestation of G2 risk on leverage and default-risk premium for emerging-market economies via, for example, heightened exchange rate volatility and contraction in trade. Repercussions from the divergent monetary policies of major central banks may unfold uneven terrain for emerging-market economies. Given that asset prices are associated with the leverage cycle, this session introduces disaggregated data analysis on the effects of macro-prudential measures on house prices and housing-market transactions.

Moderator    Woon Gyu Choi

                    Deputy Governor and Director General, Economic Research Institute, BOK 

Speakers     Alfred Schipke

                    Senior Resident Representative-China, Asia and pacific Department, IMF 

                    How Worried Should We Beabout Asia’s Shadow Banking?

                     Jieun Lee

                    Economist, Economic Research Institute, BOK

                    The Effects of Macro-prudential Policies on House Prices Using Real

                    Transaction Data: Evidence from Korea 

Discussants   Yiping Huang

                      Professor, Peking university

                     Dongchul Cho

                      Chief Economist, Korea Development Institute