1. Global Financial Imbalances: The Future Impact of Asian and Middle East Surpluses
Karen Johnson
April 24, 2006

2. Exchange Rates: Chinese RMB
Source: FRB weights

3. Exchange Rates: Korean Won
Source: FRB weights

4. Exchange Rates: Japanese Yen
Source: FRB weights

5. Current Account Balance (% of GDP)
Source: IMF WEO

6. Current Account Balance (% of GDP)
Source: IMF WEO
*Hong Kong, Korea, Singapore, Taiwan

7. Global Oil Prices (WTI)
Source: Commodity Research Bureau

8. Revenue Flows to Fuel Exporters
Source: IMF WEO

9. Foreign Exchange Reserves
Source: IMF
*Indonesia, Malaysia, Philippines, Singapore, Thailand, Hong Kong

10. Foreign Exchange Reserves: Aggregate of Fuel Exporters
Source: IMF
*No data available for Turkmenistan, Iran, Iraq, or Syria
**2005 data not yet available for Angola, Rep. of Congo, Equatorial Guinea, Gabon, Sudan, Bahrain, UAE, or Yemen

11. Portfolio Inflows to the United States
Source: Treasury International Capital System (
*Indonesia, Malaysia, Philippines, Singapore, Thailand, Hong Kong
**Bahrain, Iran, Iraq, Kuwait, Oman, Qatar, Saudi Arabia, UAE

12. Inflation: Consumer Prices
Source: IMF WEO

13. Gross Issuance of Chinese Sterilization Bonds
Source: Bloomberg

14. Distortions Implicit subsidy to exports
Distort allocation of domestic fixed investment
Continue to attract capital inflow

15. Downside of Reserve Accumulation
Complications posed for monetary policy
Distortions on bank behavior
Limits on financial sector development
Price signals altered by the exchange rate