Data to the Rescue

Finance & Developement MagazineNbr. 46-1, March 2009Features

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Summary


Major strides. Helping assess vulnerabilities. Keeping tabs on cross-border linkages. The balance sheet approach. Monitoring shocks. Crisis creates new challenges. Filling the gaps. References.

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Data to the Rescue

Why improved statistical information will be key for prevention of future crises

Accurate, complete, and timely data are critical to making good economic policy and fi nancial decisions. Without strong data, policymakers cannot manage effectively and business leaders may be left in the dark, unable to spot emerging trends and danger signals.

Every crisis exposes weaknesses, and the current global financial crisis is no exception. The speed at which the crisis developed underlines the importance of indicators that could support early warning efforts and the analysis of cross-border financial linkages. While the analysis of the spread and transfer of risk has been hindered by the complexities created by new financial instruments, the crisis has also helped underscore the need to keep a better eye on the activities...

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