New episode of the EBRD podcast available for download
The latest episode of the Pocket Economics podcast looks at economic resilience, the ability of markets and institutions to resist global shocks.
Our guests, Mattia Romani, EBRD’s Managing Director for Economics, Policy and Governance, and Bojan Markovic, Deputy Director for Economics and Policy, argue that a resilient market economy supports growth, by avoiding excessive volatility, reducing vulnerabilities and creating safety from economic shocks.
“One single element of disruption can create an enormous amount of economic and political crises around the world," Mr Romani tells Jonathan Charles, EBRD Managing Director, Communications.
"This is the economic dimension of the famous butterfly effect.”
“It’s hard to be a healthy economy if you’re not a resilient economy. And we saw that very clearly during the financial crisis of 2008-2009.”
“One key element that needs to be in place is a resilient banking sector,” he says, stressing that the EBRD is working hard to help countries develop such sectors which are well capitalised, liquid and profitable.
Food and energy are two more sectors at risk of high levels of instability and in need of support to build more resilient and efficient markets.