Public Organization Review

, Volume 16, Issue 3, pp 357–370

Coordination of Monetary and Fiscal Policies in Small Island Developing States: Two Case Studies

Article
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Abstract

The American financial crisis which began in the second half of 2007 ultimately deteriorated into a world economic downturn. Despite hopeful signs of recovery in early 2011, there was another setback in the second half of 2011, consequent to the euro zone debt crisis. These developments posed challenges of unprecedented nature to the small island developing states (SIDS). Being prone to shocks of all kinds, such as natural disasters and volatility in prices of fuel and food, SIDS have been struggling to keep their economies afloat with their limited range of fiscal and monetary policies, success of which depended on coordination between ministries of finance and central banks. This paper seeks to examine the subject with two case studies in two regions, the Indian Ocean and the Pacific.

Keywords

Coordination Recession Monetary and fiscal policies Indian Ocean The Pacific 

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Copyright information

© Springer Science+Business Media New York 2015

Authors and Affiliations

  1. 1.Department of EconomicsFiji National UniversityNasinuFiji
  2. 2.Ministry of Finance and Economic DevelopmentPort LouisMauritius
  3. 3.Reserve Bank of VanuatuPort VilaVanuatu

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