As for other aspects of unconventional monetary policies, such as financial stability implications or
spill overs to other countries, it seems that the jury is still out.
Continued strong growth in Egypt and Pakistan in FY 2017 / 18 is driving the regional aggregate growth higher, masking weaker and more fragile growth in other countries, particularly those affected by conflict or its
spill overs such as Afghanistan, Jordan, Lebanon and Somalia, said the report
The TVRS will enable Sri Lankan goods to have greater exposure to the global market, bringing with it several positive economic
spill overs.
The IMF's report for the Regional Economic Outlook noted that sanctions against Iran will undercut its near-term trade and growth prospects, increasing the risk of
spill overs. They added that the developments in Turkey could impact some countries' trade and financial linkages, as well as through market confidence effects.
Historically, the growth in per capita density has resulted in positive economic
spill overs in the form of innovation, increased exchange and increased specialization, ultimately feeding into economic expansion.
Prices recovered some ground after their fall, as concern about the real
spill overs of the financial turbulence eased.
Separately, the Board approved an approach to ineligible upper-middle income countries in crisis where economic and epidemiological metrics are collapsing and where
spill overs threaten regional progress against HIV, TB and malaria.
According to the World Bank's twice-yearly "Global Economic Prospects", political turmoil in Egypt, stalemate in Tunisia and an escalation of the civil war in Syria, with
spill overs to neighbouring Lebanon and Jordan, have weakened activity in the oil importing countries.
Moreover, the high inflation accumulated over the course of FY 2014/15 to FY 2016/17 has lowered the purchasing power of households across societal segments, reducing the positive
spill overs of economic growth, and taking a toll on social and economic conditions.
Those living in the richer part of the world will not be immune to the
spill overs that take place elsewhere.
