THE REWIRING OF THE GLOBAL ECONOMY

July 19-20, 2024

Cusco, Peru

Overview

This event was 15th BCRP-RBWC Annual Conference. As has been the case every year since the inception of the BCRP-RBWC conference in 2009, this event was designed to facilitate robust discussions among policymakers and experts.

The focus this year was, as Christine Lagarde highlighted in her speech at Jackson Hole in 2023, that “we may be entering an age of shifts in economic relationships and breaks in established regularities. For policymakers with a stability mandate, this poses a significant challenge.”  

Thus, the proceeding this year centered on the formulation and implementation of adaptive economic policies, trade dynamics, and investment strategies in response to prevailing global shocks and disruptions, and more particularly on addressing the following question, among others:

Is high debt posing risks to financial stability or the International Monetary System (IMS)? Can high debt constrain monetary policy normalization? To what extent should central banks consider financial conditions when conducting monetary policy? How can the trade-off between current financial conditions and future financial vulnerabilities be integrated into policy design? How should monetary policy strategies adapt in light of the recent unanticipated surge of inflation and heightened uncertainty? How do climate-related shocks intersect with traditional economic shocks, and what policies can mitigate their combined impact?

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