Comments on: Effectiveness of macroprudential and capital flow measures in Asia and the Pacific

This paper by Valentina Bruno, Ilhyock Shim and Hyun Song Shin asks some important questions: what are the effects of capital flow management (CFM) policies? How do bond and bank CFMs affect the composition of capital flows? And what are the effects of domestic macroprudential policies on credit? These questions are important because a growing number of countries are deploying capital controls and macroprudential policies, and, if these policies are to be used wisely, then we need to understand how they impact our economies.